Lyxor launches pioneering European gender equality ETF

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Paris-headquartered Lyxor has unveiled Lyxor Global Gender Equality (DR) Ucits ETF, the first gender equality ETF in Europe.

The Lyxor Global Gender Equality (DR) Ucits ETF is a Luxembourg Sicav that uses physical replication, and is available on Euronext Paris with a promised Total Expense Ratio of just 0.35%.

Lyxor has launched the fund – which focuses on companies leading gender equality’s field (one of the top 3 sustainable development goals investors are focusing on) – alongside Equileap (an organisation set up to accelerate progress towards gender equality in the workplace) and the innovative index provider Solactive.

The Equileap Global Gender Equality Index is based on Equileap’s own global database, which covers up to 3,000 companies from 23 developed countries. Each of those companies has a market capitalisation of at least $2bn and a daily value traded of at least $5m on average.

Lyxor’s ETF uses Equileap’s Gender Scorecard – a methodology based on 19 criteria including gender balance, equal compensation, work life balance, policies promoting gender equality, transparency and accountability (among others) and inspired by the UN Women’s Empowerment Principles, in order to refine a selection of 150 companies.

Lyxor ETF & Indexing’ s deputy head Clarisse Djabbari, said: “This ETF marks an important step in our progress towards a complete range of environmental, social and governance based investment products. We are the only provider in Europe to offer ETFs on 4 of the Sustainable Development Goals: gender, water, new energy and climate change through our Green bond ETF”.

Equileap’s CEO Diana van Maasdijk added: “Building our database, and ranking over 3000 companies on 19 criteria, was a first step, towards transparency – you can’t change what you can’t see. Having investment vehicles tied to our indices is a second step, towards change – a tool not only helping responsible investors but also encouraging companies to make a difference.“