UBS ETF MSCI USA SRI USD A dis

Issuer: UBS

Asset Class: Equity

TER: 22bps

Trading Currency: GBX

Pays Income: False

Listing Date: 21 Sep 2012

Ticker: UC46

ISIN: LU0629460089

This investment product offers a strategic approach for investors looking to gain exposure to the U.S. large-cap equity market while adhering to stringent ethical and sustainability standards. The fund is designed to mirror the performance of a specialized index that filters the broad U.S. stock market based on Socially Responsible Investing (SRI) criteria. This methodology involves a multi-step screening process. Initially, companies with significant involvement in controversial sectors such as tobacco, alcohol, gambling, adult entertainment, firearms, and nuclear weapons are excluded. This negative screening ensures the portfolio is free from businesses that may conflict with an investor's personal values. Following the exclusions, the strategy employs a "best-in-class" selection, favoring companies that demonstrate superior Environmental, Social, and Governance (ESG) performance relative to their industry peers.

Furthermore, the underlying index incorporates a low-carbon tilt, specifically aiming to reduce the portfolio's overall carbon footprint. This is achieved by underweighting or excluding companies with high carbon emissions and fossil fuel reserves, aligning the investment with the goals of a transition to a low-carbon economy. The final portfolio consists of a diversified basket of U.S. companies that are not only market leaders in their respective fields but also pioneers in corporate responsibility and sustainable practices. This makes the fund an appealing core holding for investors who seek both financial returns and a positive societal impact, providing a liquid and transparent vehicle to integrate ESG principles into their investment strategy. The fund employs a physical replication method, meaning it directly holds the shares of the companies in the index.