Amundi adds two new ESG ETFs
Thursday 21 April 2022
Product, Press Release
Paris/London – 19 April 2022 – Amundi, Europe’s largest asset manager, and the leading European ETF provider1, announces the listing of two new ESG ETFs starting from 12th April 2022: the Amundi Global AGG SRI – UCITS ETF DR and the Amundi MSCI AC Far East Ex Japan ESG Leaders Select – UCITS ETF DR. The ETFs have been listed on Xetra in Euros and U.S. Dollars. This initiative is part of the Societal Project of Crédit Agricole Group and its commitment to the climate.
The Amundi Global AGG SRI – UCITS ETF DR tracks the Bloomberg MSCI Global Aggregate 500MM ex Securitized Sustainable SRI Sector Neutral Index with ongoing charges of 0.14%. Designed as a sustainable tool to gain exposure to the broad Fixed Income market, the ETF gives investors access to 12,000 Investment Grade corporate and government bonds issued by more than 1,200 issuers globally. The index replicated by the ETF strictly excludes issuers involved in controversial business practices and selects 80% of the bonds with the highest ESG score taken from the Bloomberg Global Aggregate 500MM ex Securitized index2.
The Amundi MSCI AC Far East Ex Japan ESG Leaders Select – UCITS ETF DR is an equity ETF that tracks the MSCI AC Far East ex Japan ESG Leaders Select 5% Issuer Capped Index with ongoing charges of 0.25%. This is the first sustainable ETF allowing investors to be exposed to a selection of two developed markets (excluding Japan) and seven Emerging Markets countries in the Far East3. The ETF is well diversified across around 400 stocks and the ESG approach of the index includes a negative screening and a best-in-class selection of the top 50% of companies with the highest ESG scores taken from the MSCI AC Far East ex Japan Index4.
Both ETFs are classified under article 8 of the EU’s SFDR regulation5.
Matthieu Guignard, Global Head of Product Development and Capital Markets at Amundi ETF, Indexing & Smart Beta, said: “We are delighted to further extend our Amundi ETF responsible range with these two new products. As investors are increasingly looking for new tools allowing them to build sustainable portfolios for all asset classes, we are committed to provide them with a large range of high quality, robust and cost-efficient ESG ETFs”.
1 Source: Amundi, as at 31/12/2021.
2 Sector exclusions include alcohol, tobacco, gambling, adult entertainment, GMO, nuclear power, military weapons, civilian firearms and thermal coal. Further details on the investment policy are available on the index provider website: https://www.bloomberg.com/professional/product/indices/.
3 Developed Markets countries in the index include Hong Kong and Singapore. Emerging Markets countries include: China, Indonesia, Korea, Malaysia, the Philippines, Taiwan and Thailand. Source: MSCI, as at 07/04/2022.
4 Issuers involved in activities in controversial weapons, nuclear weapons, civilian firearms, tobacco, alcohol, conventional weapons, gambling, nuclear power, fossil fuel extraction and thermal coal power are excluded. Further details on the investment policy are available on the index provider website: https://www.msci.com/.
5 SFDR: “Sustainable Finance Disclosure Regulation” – 2019/2088/EU. European Union regulation that requires, amongst other things, the classification of financial products according to their ESG intensity. A fund is referred to as “Article 8” if it promotes ESG characteristics in tandem with other financial objectives, or “Article 9” when it has a sustainable investment objective. Any fund that does not comply with the two previous categories is an “Article 6” fund.