ESG from Xtrackers

Germany
DWS to list four ESG ETFs
X Trackers is gearing up to list four new ESG ETFs that track MSCI indexes.

  • Xtrackers ESG MSCI USA UCITS ETF (XZMU)
  • Xtrackers ESG MSCI Europe UCITS ETF (XZEU)
  • Xtrackers ESG MSCI World UCITS ETF (XZW0)
  • Xtrackers ESG MSCI Japan UCITS ETF (XZMJ)

Judging by the index handbook published by MSCI, all four products are quite similar. They all remove tobacco companies from their MSCI parent index and then select companies with the lowest carbon exposure and highest ESG performance. What companies make the cut are then weighted by market capitalisation.

Interesting commentary on the  out performance of tobacco companies in the FT recently

Each of the products will go live in May. Their TERs are between 0.15 – 0.20%.

BlackRock Corporate Action:
SAMSUNG STOCK SPLIT TREATMENT
Next week’s stock split on Samsung will not be projected in the relevant PCFs until Thursday.

Primary market orders between now and then will have trades on Samsung held back until EOD Thursday, for TD Friday. At that point, they will be adjusted to post stock split nominal and released to the selected broker.

Creations will be settled on an estimate at the stale Samsung price and trued up post trade. Payments for the value of Samsung on redeems will be held back until post trade.