Alternative Investments/ESG: In A World First, Evolve Offers Investments In Major Indices Sans Carbon Footprints

https://dailyalts.com/wp-content/uploads/2021/05/assistance-990332_640.jpg

Evolve launches two new ETFs providing a clean beta solution to investing in the S&P/TSX 60 and the S&P 500 indices.

Evolve Funds Group has filed the final prospectus for its launch of the world’s first ETFs that bring carbon neutrality to traditional indices. The Evolve CleanBeta series of ETFs will flag off with the Evolve S&P/TSX 60 CleanBeta Fund (SIXT) and the Evolve S&P 500 CleanBeta Fund (FIVE). (CISION Canada)

Evolve S&P/TSX 60 CleanBeta Fund (SIXT) and the Evolve S&P 500 CleanBeta Fund (FIVE)

The two new ETFs are likely to begin trading on the TSE on Monday, May 10, subject to approvals. The funds aim to generate long-term capital growth by replicating, net of fees and expenses, the performance of the S&P/TSX 60 Index and S&P 500 Index, respectively, while offsetting the carbon footprint of the constituent securities in the portfolio.

“We’ve observed a number of challenges related to ESG investing adoption,” says Raj Lala, President and CEO at Evolve in a statement. “From inconsistent screening methodologies to a narrowing of the investable universe resulting in a change of the overall return profile. We think CleanBeta helps solve many of these issues by providing investors with a simple solution to make traditional indices carbon neutral.”

Carbon neutrality

The S&P/TSX 60 Index is a portfolio index of the large-cap market segment of the Canadian equity market. Meanwhile, the S&P 500® is widely regarded as the best single gauge of large-cap U.S. equities.

To remove the carbon component in the above portfolios, Evolve will use data and analysis provided by Trucost, a division of S&P Global, to determine the carbon exposure of the companies in the indices.

The two ETFs will then use various strategies to neutralize the full carbon footprints of these companies. These strategies could include purchasing and retiring carbon credits.

Related Story:  VanEck’s Vectors Global Clean Energy ETF Soon To Debut On ASX

Free Industry News

Subscribe to our free newsletter for updates and news about alternatives investments.

  • This field is for validation purposes and should be left unchanged.


Shape

Latest Alternative Investment News

https://dailyalts.com/wp-content/uploads/2021/07/bitcoin-2668211_640.jpg
Digital Assets: Bitcoin Closes In On $40K After Amazon Rumors Spark Rally
July 26, 2021     Digital Assets, News

Bitcoin, the leading cryptocurrency, which had been in a downtrend since its April highs, and tested $30,000 on more than one occasion, surged nearly 15% after a rumor that Amazon…

https://dailyalts.com/wp-content/uploads/2021/07/rivian-r1t-7.jpg
Venture Capital: Rivian Lands $2.5B; Plans Second EV Plant Including For Batteries
July 26, 2021     Latest News, News, Venture Capital

Electric vehicle maker Rivian announced Friday (July 23, 2021) its close of a $2.5 billion funding round led by Amazon’s (NASDAQ: AMZN) Climate Pledge Fund, D1 Capital Partners, Ford Motor…

https://dailyalts.com/wp-content/uploads/2021/07/champagne-2178775_640.jpg
Liquid Alternatives: Three Reasons
July 26, 2021     Liquid Alternatives, News

Spawned after the 2008 financial crisis, liquid alternatives have disappointed investors. During the 2010s, these instruments averaged an annualized gain of 1.66%. Writing in Morningstar, columnist John Rekenthaler makes a…

https://dailyalts.com/wp-content/uploads/2021/07/Ez4eEsTWUAMC8Gz.jpg
FinTech: UK-Based PensionBee Reports Assets Under Administration Have Doubled In A Year
July 26, 2021     FinTech, News

An influx of new customers has boosted two-fold PensionBee’s assets under administration as at June 30, 2021. Further, in a landmark year, PensionBee (LON: PBEE) raised £55 million from an…