Amundi Index MSCI Europe ESG Broad CTB UCITS ETF DR - EUR (C)

Issuer: Amundi ETF

Asset Class: Equity

TER: 12bps

Trading Currency: GBX

Pays Income: False

Listing Date: 22 Mar 2018

Ticker: CEUR

ISIN: LU1681042609

This investment vehicle offers exposure to a diversified portfolio of large and mid-capitalisation companies across developed European markets. It is designed for investors seeking to integrate strong environmental, social, and governance (ESG) principles into their core European equity allocation. The strategy aims to align with the long-term decarbonisation goals of the Paris Agreement by significantly reducing the portfolio's carbon footprint compared to the broader market. It achieves this by tracking a benchmark specifically constructed to meet the European Union's Climate Transition Benchmark (CTB) requirements, which involves re-weighting constituents to favour companies with lower carbon emissions and those actively involved in the transition to a low-carbon economy.

Beyond its climate focus, the fund employs a comprehensive ESG screening process. It excludes companies involved in controversial activities such as controversial weapons, tobacco, and thermal coal, as well as those failing to comply with United Nations Global Compact principles. The methodology also enhances exposure to companies demonstrating a robust ESG profile, effectively tilting the portfolio towards more sustainable businesses. By using a physical replication method, the fund directly holds the underlying securities of the index, providing transparent and direct ownership. As an accumulating instrument, any dividends paid by the constituent companies are automatically reinvested back into the fund, fostering the potential for compound growth over the long term. This makes it a suitable option for investors looking to build a sustainable-oriented, long-term European equity position.