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According to the prospectus sheet, ESG criteria include receiving a minimum Oekom score with respect to (i) whether a company’s primary business is in a prohibited industry (e.g., oil, gas, coal, tobacco); (ii) whether a company is involved in producing goods in a controversial business area (e.g., fossil fuels, nuclear power, genetically modified organisms, military weapons, pesticides); (iii) whether a company has a history of controversial business practices relating to human rights,labor rights, environmental protection, or business malpractice (e.g., corruption, extreme tax avoidance); as well as (iv) standards andperformance criteria related to environmental impacts (e.g., emissions, harmful chemicals in product portfolio, biodiversity management) and human impacts (e.g., hiring practices related to diversity, supply chain standards, health risk in product portfolio).
Top holdings include Micron Technology 1.1%, Abbvie 1.1%, Autozone 1.1%, Kla-Tencor Corporation 1.1%, Metlife 1.1%, Symantic 1.1%, Applied Materials 1.1%, Target 1.1%, Marsh & Mclennan 1.1% and Eaton Corp 1.1%.
“We reject companies that produce pesticides or military weapons, engage in corrupt business practices or have exploitative relationships with labor and Indigenous people,” Andrew Rodriguez, Change Finance President, said. “We move money from harm to healing – harnessing our collective experience in social change. The result is an ETF that invests in companies built for the 21st century. This sort of smart investing can solve some of the worst social and environmental issues, and we believe it could serve as a core holding in any investor’s portfolio. Think of us as inspired by the values of ‘Occupy,’ but powered by the acumen of Wall St.”
For more information on new fund products, visit our new ETFs category.