An overview of FTSE ESG Indices
- The ESG Index Series is crafted to assist investors in integrating ESG (Environmental, Social, and Governance) goals with a broad market benchmark, all while preserving sector neutrality.
- The weight of each company in the indices is adjusted based on their ESG Scores. Following this, sector-neutral re-weighting is conducted to ensure the sector weights in each index align with the underlying market.
- This approach ensures that the ESG Indices exhibit risk/return profiles akin to the broader market, along with enhanced ESG metrics.
- The ESG Index Series includes the following segments:
- Developed ESG Indices
- Emerging ESG Indices
- All-Share ESG Indices
- Russell 1000 ESG Indices
KEY FACTS
What you get with FTSE ESG Indices
The ESG Index Series aims to assist investors in merging investment goals with ESG (Environmental, Social, and Governance) criteria in a comprehensive benchmark, while preserving industry balance.
Company weightings within each index are adjusted based on ESG Scores. Following this, an industry-neutral re-weighting is implemented to ensure that industry weights in each index reflect the overall index universe.
As a consequence, the ESG Indices exhibit risk/return profiles similar to the broader universe, with the added advantage of enhanced ESG metrics.
The ESG Index Series includes the following Index Segments:
Developed ESG Indices
Emerging ESG Indices
All-Share ESG Indices
Russell 1000 ESG Indices
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