What You Need to Know
- As a measure of that belief, Goldman says it “intends to invest in the Fund alongside its clients.”
- VanEck has launched the VanEck Environmental Sustainability Fund, which invests in multiple sustainability sectors.
- Betterment started integrating the new VOTE ETF into SRI portfolios on all platforms.
Goldman Sachs has launched its first actively managed ETF, the Goldman Sachs Future Planet Equity ETF (GSFP), which will invest in companies addressing the environmental challenges critical to the future of the planet.
These include companies involved in clean energy, resource efficiency, sustainable consumption, water sustainability and the circular economy, which integrates recycling and spare use of resources for the health of the planet.
The ETF will use active bottom-up security selection to target companies that have the potential to drive more sustainable practices and deliver strong returns across various sectors, geographies and market capitalizations. The ETF trades on the NYSE and has an expense ratio of 0.75%.
“We believe we are on the cusp of a sustainability revolution that could have the scale of the industrial revolution and the speed of the digital revolution. In our view, this may give rise to a unique wealth creation opportunity for investors over the next decade,” said Katie Koch, co-head of the Fundamental Equity business within Goldman Sachs Asset Management, in a statement.
As a measure of that belief, Goldman says it “intends to invest in the Fund alongside its clients.” Goldman also invests alongside investors in its JUST U.S. Large Cap Equity ETF, a passive ETF based on an index that focuses on companies that treat workers and customers well and care about environmental impacts.
VanEck Introduces Mutual Fund Focused on Energy Transition
VanEck has launched the VanEck Environmental Sustainability Fund (tickers are ENVAX, ENVIX and ENVYX), an actively managed mutual fund that invests in companies involved in multiple sustainability sectors, including renewable energy, smart resource management, agriculture technology, recycling, water and advanced materials.
The fund uses a research and engagement framework focused on CLAW metrics, which measures progress around sustainability efforts related to climate, land, air and water. The fund will also focus on companies with a managerial commitment to governance, engagement and reporting.
“Our goal is to provide investors with a means through which they can invest in and support publicly traded companies that are measurably addressing climate change by developing innovative solutions to environmental issues for the long term,” said portfolio manager Shawn Reynolds, who also manages the VanEck Global Resources Fund (GHAAX).
Total operating expenses of the fund range from 0.95% for institutional shares to 1.25% for Class A shares, which have a sales load of up to 5.75%.
Invesco Adds Multi-Factor ETF Suite
Invesco Ltd. has introduced a new multi-factor ETF suite that tracks the S&P Quality Value & Momentum Top 90% Indices from S&P Dow Jones.
The suite consists of three ETFs that track three different multi-factor indices by market cap — large-, mid-, and small-cap — which is then trimmed using a factor screen to target exposure to U.S. stocks with the highest quality, value and momentum multifactor score. The new ETFs are:
- Invesco S&P 500 QVM Multi-factor ETF (QVML)
- Invesco S&P MidCap 400 QVM Multi-factor ETF (QVMM)
- Invesco S&P SmallCap 600 QVM Multi-factor ETF (QVMS)
Their expense ratios range from 0.11% for WVML to 0.15% to QVMM and QVMS.
The S&P Quality, Value & Momentum Top 90% Multi-factor Indices exclude companies with the lowest quality, value, and momentum multifactor score. and weights their constituents by float-adjusted market capitalization, subject to certain constraints and are rebalanced quarterly.