Investment management firm TD Asset Management (TDAM), a member of the TD Bank Group, announced the launch of the TD Morningstar ESG Equity Index ETFs, expanding its suite of ESG investing products with three new ETFs. TDAM stated that the new products were built to provide investors with similar exposure to broad market indexes while investing in best-in-class companies driving positive change.
The new ETFs include the TD Morningstar ESG Canada Equity Index ETF, the TD Morningstar ESG U.S. Equity Index ETF, and the TD Morningstar ESG International Equity Index ETF. Each product is designed to track a large and mid-capitalization index in their respective region that includes companies with higher ESG ratings relative to their peers. In addition to ESG ratings considerations, the ETFs screen out companies in the gambling, tobacco and controversial weapons industries.
According to TDAM, the firm leveraged the index construction capabilities and research of investment research and index provider Morningstar, along with Morningstar’s ESG ratings and research firm Sustainalytics in the development of the new ETFs.
The new ETFs add to TDAM’s expanding suite of ESG investment product offerings. Earlier this year, the firm announced today the launch of two new mutual funds, TD North American Sustainability Equity Fund and TD North American Sustainability Balanced Fund, and also introduced the TDAM Sustainable Investment Approach, a new philosophy that further articulates the Bank’s dedication to investing responsibly and serves as a guidepost for how each of TDAM’s investment teams’ approach ESG integration.
Rob Vanderhooft, Chief Investment Officer, TDAM, said:
“At TDAM, we are always looking for more ways to help Canadians align their investments with their values. Our new TD Morningstar ESG Equity Index ETFs are a convenient, low-cost and differentiated way to invest in companies that have higher ESG ratings relative to their peers. Whether investors are looking to invest in Canadian, U.S. or international equity markets with a focus on ESG, they will benefit from the disciplined and committed approach to sustainable investing at TDAM.”