FTSE Russell makes changes to index series
Global index, analytics and data provider FTSE Russell has added 82 new companies to its FTSE4Good Developed Index, with a further 34 companies being added to the FTSE4Good Emerging Index and eight new Japanese companies entering the FTSE4Good and FTSE Blossom Japan Index.
The changes were announced following the firm’s June 2018 semi-annual review. To be included in the index series, the companies needed to meet specific thresholds in relation to environmental, social and governance (ESG) practices, it said.
Also, the largest number of additions from this review came from the US (31), with the region remaining the largest contributor of companies to the index.
At the same time, eight Japanese and eight Australian firms were added to the index while another 35 companies came from 15 different countries.
The report found that almost 40 per cent of global asset managers surveyed who anticipated applying smart beta strategies in the next 18 months were planning to factor ESG considerations into their approach, with nearly half of them considering ESG factors for investment risk or performance reasons.
FTSE Russell’s head of sustainable investment, David Harris, said: “Since launching the FTSEGood Index Series back in 2001 the world and the investment landscape has changed dramatically and sustainable investing, climate risk, the transition to a low carbon economy and ESG integration into benchmarks are now an important focus for investors, policy makers and companies alike.”
AUTHOR
Oksana Patron
Recommended for you
With active ETFs becoming the latest choice as fund managers target the retail audience, their high fees may be a detractor as research finds investors are shunning those priced any higher than 50 bps.
The possibility of a dissenting vote from shareholder L1 Capital has led Platinum Asset Management to scrap its conversion plan for the $450 million Platinum Capital LIC into an ETF.
Family office Lederer Group has made an off-market takeover bid for ASX-listed Elanor Commercial Property Fund, with chair Paul Lederer taking exception at the firm’s lack of accountability, oversight and transparency.
Janus Henderson is actively seeking to partner with private wealth firms in Australia as it looks to expand its number of strategic partnerships, as well as focus on retirement income product development.
