The socially responsible investing theme covers a wide range of investments. For instance, some funds shun the defense or fossil fuel industries while others exclude gun makers, alcohol or tobacco producers, or companies deemed unfriendly to their workers, shareholders or the environment.
A number of asset managers and asset owners already incorporate environmental, social and governance factors, and as the popularity of exchange traded funds continue to grow, more may turn to ESG-related ETF options to easily and efficiently access this targeted segment.
SUSA allocates 27.6% of its weight to technology stocks, more than double its second-largest sector weight. The industrial and healthcare sectors combine for a quarter of the ETF’s roster. SUSA, which charges 0.5% per year, is up 6.3% year-to-date.
For more information on socially responsible investment strategies, visit our socially responsible ETFs category.