Solactive has launched a wide range of ETFs that are based on the company’s newly established Core Index Family.
LGIM utilises Solactive’s Core Index Family of indices as underlying for six Core Equity ETFs, covering large and mid-cap equity markets on a global scale as well as in selected regions and countries. The launch of the ETF series denotes LGIM’s premiere of their own ETFs.
The new index family is derived from Solactive’s Global Benchmark Series (GBS), which the company released in Spring this year. Currently, Solactive’s GBS offers a variety of country indices across 23 Developed Markets, covering a total of about 1,600 stocks.
Adopting the Solactive GBS as starting universe, the Core Index Family excludes companies based on LGIM’s proprietary Future World Protection List (FWPL), which screens out businesses associated with one or more of the following factors: involvement in the manufacture of controversial weapons, persistent violations of the UN Global Compact, and pure coal mining companies.
By investing into LGIM’s new core ETFs, investors gain exposure to companies within the developed market stock universe while avoiding businesses that are connected to controversial activities.
Timo Pfeiffer commented: “As more investors raise awareness for general business practices of companies, responsible investment principles will become imperative for future investment decisions and products. With LGIM, we are proud to have a business partner on our side that expedites Solactive’s expertise within this important sector.”