UBS ETF MSCI Pacific Socially Responsible UCITS ETF (USD) A-dis

Issuer: UBS

Asset Class: Equity

TER: 28bps

Trading Currency: GBX

Pays Income: False

Listing Date: 28 Jun 2012

Ticker: UB45

ISIN: LU0629460832

This fund offers targeted exposure to the equity markets of developed countries within the Pacific region, all while adhering to a socially responsible investment (SRI) mandate. It achieves this by tracking an index composed of large and mid-capitalization companies from Japan, Australia, Hong Kong, Singapore, and New Zealand. The underlying benchmark employs a rigorous screening process to select companies that demonstrate strong environmental, social, and governance (ESG) practices. Consequently, it excludes businesses involved in controversial sectors such as civilian firearms, tobacco, and thermal coal, as well as those that fail to meet specific ESG criteria. This values-based approach is designed for investors who want to capture the growth potential of the Pacific region while ensuring their capital supports sustainable and ethical business operations.

Investing in this portfolio offers geographic diversification away from traditional North American and European markets. The Pacific region includes some of the world's most innovative and resilient economies, providing a unique blend of technological advancement from Japan and resource-driven growth from Australia. The integration of SRI principles can also serve as a risk mitigation tool, as companies with high ESG ratings are often better managed and more prepared for long-term challenges. To ensure diversification within the fund, a 5% cap is applied to each constituent, preventing any single company from having an excessive influence on performance. This structure provides a balanced exposure to the region's leading sustainable companies.

This investment is particularly suitable for those looking to build a globally diversified portfolio with a satellite allocation to developed Asia-Pacific equities. It appeals directly to ESG-conscious investors who do not want to compromise their principles for geographic exposure. By offering a convenient, single-product solution to access a basket of high-quality, ethically-screened companies, it simplifies the process of investing in the Pacific region's sustainable leaders. The distributing share class further caters to investors who may require a potential income stream from their investments.