State Street Global Advisors has launched the SPDR S&P 500 ESG ETF.
The ETF looks to track the S&P 500 ESG Index which measures the performance of stocks meeting certain ESG criteria while maintaining a similar industry group weight as the S&P 500 Index. All constituents of the S&P 500 are eligible for inclusion in the Index, except for companies that:
Are involved with tobacco-related products and services, based on certain levels of production, revenue or ownership;
Are involved in controversial weapons, including cluster weapons, landmines, biological or chemical weapons, depleted uranium weapons, white phosphorus weapons, or nuclear weapons, or hold certain ownership stakes in a company involved in these activities;
Have a United Nations Global Compact (“UNGC”) score in the bottom 5% of all UNGC-scored companies globally;
Have an S&P DJI ESG Score that falls within the worst 25% from each Global Industry Classification Standard (GICS) industry group;
Do not have (i) coverage for tobacco- and controversial weapons-related involvement from the Index’s third-party data providers for such information; (ii) a UNGC score determined by Arabesque; or (iii) an S&P DJI ESG Score.