iShares MSCI USA SRI UCITS ETF USD (Acc)
| Issuer: iShares |
| Asset Class: Equity |
| TER: 20bps |
| Trading Currency: USD |
| Pays Income: False |
| Listing Date: 12 Jul 2016 |
| Ticker: SUAS |
| ISIN: IE00BYVJRR92 |
This fund provides targeted exposure to a portfolio of U.S. large and mid-capitalization companies that demonstrate strong sustainability profiles. The investment strategy is centered around a Socially Responsible Investing (SRI) methodology, employing a 'best-in-class' approach to select companies with leading Environmental, Social, and Governance (ESG) ratings compared to their industry peers. Furthermore, it applies a series of exclusionary screens to filter out companies involved in controversial sectors such as civilian firearms, controversial weapons, nuclear weapons, tobacco, thermal coal, and oil sands. This dual screening process ensures that the portfolio aligns with specific ethical standards and sustainability goals, making it suitable for investors who wish to direct their capital towards more responsible corporate citizens.
The underlying index which the fund tracks is designed to capture the performance of these high-ESG-rated U.S. firms while simultaneously reducing exposure to fossil fuel-related activities. This provides a focused approach to sustainable investing within the world's largest equity market. For investors seeking to build a core U.S. equity holding that is consciously aligned with sustainable principles, this instrument offers a diversified and transparent solution. The strategy aims to deliver market-like returns but with a significantly improved sustainability footprint, appealing to those who believe that strong ESG practices can be a driver of long-term value and risk mitigation.
As an accumulating share class, any dividends distributed by the constituent companies are automatically reinvested back into the fund. This process facilitates the potential for enhanced long-term compound growth and is tax-efficient for investors in certain jurisdictions, as it avoids immediate taxable income events. This feature makes the fund particularly well-suited for long-term investors focused on capital appreciation who want to integrate robust ESG criteria into their portfolio without sacrificing broad exposure to the dynamic U.S. economy.
