UBS Global Asset Management has listed a new ETF on the London Stock Exchange……
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The UBS ETF MSCI Japan Socially Responsible UCITS ETF (JPY) adds a new and important component to the already broad range of UBS ETFs for socially responsible investments (SRI).
The new UBS ETF physically replicates a single benchmark in the MSCI Global SRI Index family. This ETF offers investors the opportunity to access companies whose business concepts and products meet the strictest criteria in the areas of environmental protection, social responsibility and corporate governance (Environmental, Social & Governance, ESG). To do this, MSCI Global Socially Responsible indices rely on a combination of negative and positive screening. They exclude companies whose activities are not in line with certain values, such as those who manufacture products which have a highly detrimental impact on the environment and society. Conversely, SRI indices also aim to include those companies with the highest ESG ratings in their own sectors. By doing this, they seek to ensure that companies that operate in ways that are particularly socially and environmentally beneficial are included in the index. This ETF gives investors transparent and low-cost access to a range of SRI-screened companies on the Japanese equity market whose business practices meet strict sustainability criteria.
Andrew Walsh, Head of UBS ETF Sales UK & Ireland commented: “Investors are increasingly looking at companies whose business activities are in harmony with social values and whose approach to managing environmental, social and corporate governance risks is first-rate. It follows that deciding to invest in a sustainable way isn’t about following a trend. On the contrary, the investment decision is primarily about striving for long-term values and sustainability.”
Socially responsible investment, performance and diversification are not mutually contradictory, as is clear from a comparison of the MSCI Japan Socially Responsible with its parent index, the MSCI Japan. While the latter lists many more equities, both indices performed in very much the same way over the past five years; indeed the MSCI Japan Socially Responsible performed slightly better through that period.
The new UBS ETF enhances the existing UBS SRI offering tracking the MSCI Global SRI Index family. The suite of indices enables investors to access sustainability-driven companies in developed markets and emerging countries, while at the same time facilitating not only diversified investments in the MSCI World SRI and the MSCI Emerging Markets SRI indices, but also more targeted exposures in individual regions, such as North America, Europe and the Middle East, as well as the Pacific Rim.
The full list of UBS SRI ETFs is below:
|Name||TER||AuM in GBp M.*||ISIN||Bloomberg||Sedol|
|MSCI Japan SRI UCITS ETF||0.40%||7||LU1230561679||JPSR LN||BYQDZ49|
|MSCI World SRI UCITS ETF||0.38%||68||LU0629459743||UC44 LN||B8NZ739|
|MSCI Emerging Markets SRI UCITS ETF||0.53%||23||LU1048313891||UC79 LN||BMPHGM3|
|MSCI Europe & Middle East SRI UCITS ETF||0.28%||22||LU0629460675||UB39 LN||B7TLNN6|
|MSCI North America SRI UCITS ETF||0.33%||100||LU0629460089||UC46 LN||B6YRHS5|
|MSCI Pacific SRI UCITS ETF||0.40%||16||LU0629460832||UB45 LN||B6VJTX3|
|MSCI United Kingdom IMI SRI UCITS ETF||0.28%||29||IE00BMP3HN93||UKSR LN||BMP3HN9|