UBS MSCI World Socially Responsible UCITS ETF (Hedged to GBP) A-dis
| Issuer: UBS |
| Asset Class: Equity |
| TER: 22bps |
| Trading Currency: GBX |
| Pays Income: False |
| Listing Date: 13 May 2020 |
| Ticker: SRWG |
| ISIN: IE00BK72HN04 |
This investment offers exposure to a portfolio of global companies from developed markets that demonstrate strong Environmental, Social, and Governance (ESG) characteristics. It aims to replicate the performance of the MSCI World SRI Low Carbon Select 5% Issuer Capped Index, providing a targeted approach for those looking to align their investments with sustainability values. The underlying index employs a rigorous screening process, excluding companies involved in controversial activities such as controversial weapons, tobacco, and thermal coal. Furthermore, it selects companies with the highest ESG ratings within their respective sectors, ensuring a "best-in-class" approach to socially responsible investing. This methodology results in a diversified portfolio of large and mid-cap stocks across various industries and countries, while maintaining a strong sustainability profile.
A key feature of this particular share class is its currency-hedging strategy. By hedging its exposure back to the British Pound, it aims to mitigate the impact of fluctuations between the fund's base currency and the pound. This is particularly beneficial for investors whose home currency is GBP, as it helps to reduce the volatility that can arise from foreign exchange movements. The fund uses a physical replication method, meaning it directly holds the underlying securities of the index, offering transparency and a direct investment in the selected companies. As a distributing share class, it is structured to pay out any dividends received from the underlying holdings to investors periodically, providing a potential source of income. This combination of a core global equity strategy, a stringent SRI filter, and currency hedging makes it a compelling option for UK-based investors seeking responsible, risk-managed international exposure.
