Invesco launch ESG ETFs

Invesco is launching a range of ETFs that offer passive exposure to broad equity markets, but with index weightings determined by company ESG scores rather than size. The Invesco MSCI ESG Universal Screened UCITS ETFs aim to deliver the performance of customised versions of the MSCI ESG Universal indices, with a choice of geographical exposures to the USA, Europe and the World.

The MSCI indices that the ETFs follow are designed to increase overall exposure to those companies demonstrating both a robust ESG profile as well as a positive trend in improving that profile (“ESG Momentum”), while avoiding companies involved in certain controversial business practices or that do not have an ESG score. Currently, only around 8% of securities have been removed from each of the parent indices based on exclusions. The indices are reviewed and rebalanced every six months.

 

Invesco ESG Universal Screened UCITS ETF range

  USA Europe World
Bloomberg code ESGU ESGE ESGW
Exchange LSE LSE LSE
Base currency USD EUR USD
Trading currency USD & GBP GBP USD & GBP
Replication method Physical Physical Physical
Ongoing charge 0.09% 0.16% 0.19%