Franklin Templeton has launched the Franklin MSCI World Catholic Principles Ucits ETF, offering exposure to large and mid-cap stocks of companies considered environmentally and socially responsible in developed market countries.
According to the investment manager, the ETF aligns with Catholic values by avoiding businesses linked to abortion, contraceptives, animal testing and stem cell research. Additionally, it excludes firms involved in controversial sectors like civilian firearms and nuclear weapons, as well as gambling, tobacco and thermal coal industries.
The ETF targets companies with lower carbon exposure and higher ESG ratings, requiring at least a ‘BB’ rating from MSCI ESG Ratings. Classified under Article 8 of the EU’s Sustainable Finance Disclosure Regulation, the fund tracks the performance of the MSCI World Select Catholic Principles ESG Universal and Low Carbon Index.
Franklin Templeton launches Catholic principles ETF
The ETF, offering a total expense ratio of 0.27%, will be available for trading on Deutsche Börse Xetra starting April 25, London Stock Exchange from April 26 and Borsa Italiana from May 9.
Registered in Austria, Denmark, Finland, France, Germany, Ireland, Italy, Luxembourg, Netherlands, Spain, Sweden and the UK, the fund is managed by Dina Ting, head of global index portfolio management, and Lorenzo Crosato, ETF portfolio manager at Franklin Templeton.
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Rafaelle Lennox, head of Ucits ETF product strategy, Franklin Templeton, commented: “The MSCI World Select Catholic Principles ESG Universal and Low Carbon Index was created from a partnership between Franklin Templeton, MSCI and ethical advisor Nummus. Info to offer investors real customisation backed by the scale and resources of our firm.”
Caroline Baron, head of ETF distribution, Emea, Franklin Templeton, added: “Following the launch of the Franklin Catholic Principles Emerging Markets Sovereign Debt UCITS ETF two years ago and further to client interests, we are delighted to expand our offering of values-based products and introduce this new ETF to European investors.”
