ETF Strategy: "Scientific Beta, a commercial affiliate of EDHEC-Risk Institute, is now offering environmental, social and governance (ESG) and low carbon options on all its flagship multi-beta multi-strategy indices. The options enable investors to capture the performance of Scientific Beta’s indices while also reducing exposure to companies with high ESG and climate change risks."
ETF Strategy 23/09/2019
"(...) Scientific Beta, a commercial affiliate of EDHEC-Risk Institute, is now offering environmental, social and governance (ESG) and low carbon options on all its flagship multi-beta multi-strategy indices. The options enable investors to capture the performance of Scientific Beta’s indices while also reducing exposure to companies with high ESG and climate change risks. The ESG option excludes companies that fall severely short of global standards of responsible business conduct, deprive shareholders of voting rights or are involved in activities that conflict with global ESG norms or their objectives. It also includes additional negative filters targeting companies facing critical controversies in the areas covered by the UN Global Compact, or involved in inhumane weapons or deriving significant revenues from tobacco distribution. The low carbon option incorporates the above ESG screens while also removing companies with strong coal investments and by reducing exposure to companies with high carbon emissions per unit of revenue. The effect of these screens is a material reduction in the carbon footprint and exposure to companies most likely to be negatively affected by carbon transition risks. (...)"
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