Investment insights

ESG investing through exclusionary indexing

September 15, 2022

Defining eligibility for investment
A revenue-based exclusionary model
From a starting index universe of 100 companies, the revenue-based model narrows the exclusionary product benchmark to 74 companies. Fifteen are excluded because they generate any revenue from producing, supplying, or retailing fossil fuels, firearms, or military weapons, or because they generate any revenue from producing tobacco, cannabis, or conventional military weapons. Five others are excluded because they generate more than 5% of revenue from supplying or retailing tobacco or conventional military weapons, or because they generate more than 5% of revenue from producing adult entertainment, alcohol, or gambling. Six more companies are excluded because they generate more than 10% of revenue from supplying or retailing adult entertainment, alcohol, or gambling.
Keeping the core benefits of indexing
Our exclusionary ESG funds
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