Global asset manager Invesco announced today the launch by Invesco Canada of a series of new index mutual funds structured as fund-of-ETFs, including two new ESG offerings. The new ESG funds include the Invesco S&P 500 ESG Index ETF Fund and the Invesco S&P/TSX Composite ESG Index ETF Class.
The Invesco S&P 500 ESG Index ETF Fund seeks to replicate the performance of the S&P 500 ESG Index on a hedged basis, while The Invesco S&P/TSX Composite ESG Index ETF Class aims to track the performance of the S&P/TSX Composite ESG Index. Each of the indices are broad-based, and market-cap-weighted, designed to measure the performance of securities meeting sustainability criteria, while maintaining similar overall industry group weights as the S&P 500 and S&P/TSX Composite, respectively. Both utilize S&P DJI ESG scores for constituent selection and employ exclusions for companies with business activities in areas including thermal coal, controversial weapons, and tobacco, as well as companies with low UNGC scores, or ESG scores that fall within the lowest 25% from each GICS group.
Jason MacKay, Head of Wealth Management Intermediaries, Canada, said:
“In 2020, Invesco launched a line-up of ETFs that showcase our key strengths and longstanding partnerships. Based on interest in our ESG ETFs and the Nasdaq Innovation suite, we are expanding the series to Canadian investors. Wrapping these ETFs in an index mutual fund structure offers Canadian investors the ability to easily access four key indexes through another investment structure.”