Global investment firm UBS Asset Management is unveiling a new sustainable global exchange-traded fund.
In a significant move towards sustainable investing, UBS Asset Management has introduced the UBS ETF (IE) MSCI World Small Cap Socially Responsible UCITS ETF (ISIN: IE00BKSCBX74). This innovative ETF is designed to track companies with the strongest sustainability profiles from the MSCI World Small Cap index.
The ETF employs a best-in-class approach, selecting the stocks with the highest Environmental, Social, and Governance (ESG) ratings from each sector. This method ensures that 25% of the market capitalization of the MSCI World Small Cap index is covered.
To achieve this, the ETF excludes sectors like tobacco, controversial weapons, coal, oil, and gas. This exclusion is based on certain norms, values, and climate relevance.
Compliance with Article 8 of the EU's Sustainable Finance Disclosure Regulation (SFDR) is a key aspect of this ETF. It is also a UCITS ETF, ensuring it meets the highest standards of safety, transparency, and investor protection.
The ETF is managed by UBS Asset Management Switzerland AG, the same team behind the successful UBS ETF MSCI World Small Cap Socially Responsible UCITS USD Acc. Although the exact launch year is not clearly specified, the ETF has become available around recent years.
Investors interested in this ETF should note that the management fee is 0.23% per year. The ETF is based on the MSCI World Small Cap SRI Low Carbon Select 5% Issuer Capped index, which further emphasizes its focus on socially responsible investing and low carbon footprint.
With this new ETF, UBS Asset Management continues to demonstrate its commitment to sustainable investing, offering investors a chance to support companies that prioritize sustainability while seeking potential returns.
