ESG ETFs Dominate Week
Three environmental, social and governance ETFs launched this week.
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With relatively quiet times in the ETF industry during the lead-up to the holidays, this week was notable for the three ESG launches that took place. PIMCO and IndexIQ both rolled out socially responsible ETFs.
PIMCO
Today PIMCO debuted the PIMCO RAFI ESG U.S. ETF (RAFE), which is the first ESG ETF to be based on a Research Affiliates index. The fund has an expense ratio of 0.29% and lists on the NYSE Arca.
RAFE’s underlying index combines the Research Affiliates fundamental investment approach with an ESG overlay. The four fundamental metrics that drive the RAFI methodology are sales, cash flow, dividends plus buybacks and book value.
The ESG element of the methodology screens out companies with significant operations around tobacco, gaming, weapons and fossil fuels, and also overweights companies with strong ESG scores, according to the prospectus.
The methodology in this case goes beyond just the three ESG categories of evaluation to include diversity and financial discipline based on data provided by socially responsible ratings provider Vigeo Eiris.
Companies included in the index are weighted by their fundamental scores, which are then adjusted by their ESG scores. Components are rebalanced on a quarterly basis, with one quarter of the index rebalanced on each rebalancing date, the document says. At the end of September, RAFE’s underlying index included 261 components.
Just last week, PIMCO also rolled out an actively managed short-term debt ETF that incorporates ESG criteria into its investment approach.
IndexIQ
Just a few days ago, IndexIQ rolled out two ESG ETFs that focus on the U.S. and non-U.S. developed markets. The IQ Candriam ESG U.S. Equity ETF (IQSU) and the IQ Candriam ESG International Equity ETF (IQSI) come with expense ratios of 0.09% and 0.15%, respectively. Both list on the NYSE Arca.
IndexIQ partnered with Candriam, which, like IndexIQ, is a New York Life affiliate, and which specializes in sustainable investing. Companies are evaluated on ESG criteria relative to their sector peers, with the top 70% selected for the next phase.
From there, companies that do not meaningfully comply with the United Nations Global Compact are excluded, as are those with significant involvement in controversial industries, according to the prospectus.
At the end of October, IQSU’s underlying index included 334 components, while IQSI’s underlying index covered 21 countries and included 465 components.
Below is a list of additional changes to ETFs:
| Effective Date | Affected Fund | |
| 12/19/2019 | SPDR Portfolio S&P 500 ETF (SPLG) | SPLG's name changed from the SPDR Portfolio Large Cap ETF to the SPDR Portfolio S&P 500 ETF, and its index changed from the SSGA Large Cap Index to the S&P 500 Index |
| 12/19/2019 | SPDR Portfolio S&P 400 Mid Cap ETF (SPMD) | SPMD's name change from the SPDR Portfolio Mid Cap ETF to the SPDR Portfolio S&P 400 Mid Cap ETF, and its index changed from the S&P 1000 Index to the S&P MidCap 400 Index |
| 12/19/2019 | SPDR Portfolio S&P 600 Small Cap ETF (SPSM) | SPSM's name changed from the SPDR Portfolio Small Cap ETF to the SPDR Portfolio S&P 600 Small Cap ETF, and its index changed from the SSGA Small Cap Index to the S&P SmallCap 600 Index |
| 12/19/2019 | SPDR Portfolio S&P 1500 Composite Stock Market ETF (SPTM) | SPTM's name changed from the SPDR Portfolio Total Stock Market ETF to the SPDR Portfolio S&P 1500 Composite Stock Market ETF, and its index changed from the SSGA Total Stock Market Index to the S&P Composite 1500 Index. |
| 12/17/2019 | ALPS REIT Dividend Dogs ETF (RDOG) | The Cohen & Steers Global Realty Majors ETF (GRI) changed its name and ticker to the ALPS REIT Dividend Dogs ETF (RDOG) and its index from the Cohen & Steers Global Realty Majors Index to the S-Network REIT Dividend Dogs Index |
| 12/13/2019 | Schwab 5-10 Year Corporate Bond ETF (SCHI) | SCHI's expense ratio decreased from 0.06% to 0.05% |
| 12/13/2019 | Schwab 1-5 Year Corporate Bond ETF (SCHJ) | SCHJ's expense ratio decreased from 0.06% to 0.05% |
| 12/13/2019 | Schwab Long-Term U.S. Treasury ETF (SCHQ) | SCHQ's expense ratio decreased from 0.06% to 0.05% |
| 12/13/2019 | Schwab Intermediate-Term U.S. Treasury ETF (SCHR) | SCHR's expense ratio decreased from 0.06% to 0.05% |
| 12/2/2019 | Arrow Dogs of The World ETF (DOGS) | DOGS' expense ratio decreased from 1.64% to 1.34% |
| 12/2/2019 | Arrow DWA Country Rotation ETF (DWCR) | DWCR's expense ratio decreased from 1.34% to 0.95% |
| 12/2/2019 | Arrow DWA Tactical ETF (DWAT) | DWAT's expense ratio decreased from 1.70% to 1.69% |
| 12/2/2019 | VanEck Vectors Energy Income ETF (EINC) | The VanEck Vectors High Income MLP ETF (YMLP) changed its name to the VanEck Vectors Energy Income ETF (EINC) and its index from the Solactive High Income MLP Index to the MVIS North American Infrastructure Index |
| 12/2/2019 | VelocityShares Daily 2x VIX Short Term ETN (TVIX) | TVIX underwent a 1-for-10 reverse share split. |
| 12/2/2019 | VelocityShares VIX Short Term ETN (VIIX) | VIIX underwent a 1-for-5 reverse share split |
| 11/29/2019 | iShares MSCI All Country Asia ex Japan ETF (AAXJ) | AAXJ's expense ratio increased from 0.67% to 0.68% |
| 11/29/2019 | iShares MSCI ACWI ETF (ACWI) | ACWI's expense ratio increased from 0.31% to 0.32% |
| 11/29/2019 | iShares MSCI ACWI ex U.S. ETF (ACWX) | ACWX's expense ratio increased from 0.31% to 0.32% |
| 11/29/2019 | Anfield Universal Fixed Income ETF (AFIF) | AFIF's expense ratio increased from 1.00% to 1.32% |
| 11/29/2019 | iShares Currency Hedged MSCI ACWI ex U.S. ETF (HAWX) | ARCA's expense ratio increased from 0.34% to 0.35% |
| 11/29/2019 | iShares Adaptive Currency Hedged MSCI EAFE ETF (DEFA) | DEFA's expense ratio increased from 0.34% to 0.35% |
| 11/29/2019 | iShares MSCI EAFE ETF (EFA) | EFA's expense ratio increased from 0.31% to 0.32% |
| 11/29/2019 | iShares MSCI EAFE Value ETF (EFV) | EFV's expense ratio increased from 0.38% to 0.39% |
| 11/29/2019 | iShares Currency Hedged MSCI EAFE Small-Cap ETF (HSCZ) | HSCZ's expense ratio increased from 0.42% to 0.43% |
| 11/29/2019 | iShares MSCI EAFE Small-Cap ETF (SCZ) | SCZ's expense ratio increased from 0.39% to 0.40% |
| 11/29/2019 | Legg Mason Small-Cap Quality Value ETF (SQLV) | SQLV's expense ratio increased from 0.61% to 0.62% |
| 11/29/2019 | TrimTabs All Cap International Free-Cash-Flow ETF (TTAI) | TTAI's expense ratio increased from 0.59% to 0.61% |
| 11/22/2019 | Direxion Daily S&P Oil & Gas Exp. & Prod. Bull 3X Shares (GUSH) | GUSH underwent a 1-for-10 reverse share split. |
| 11/18/2019 | Global X E-commerce ETF (EBIZ) | EBIZ's expense ratio decreased from 0.68% to 0.50% |
| 11/8/2019 | Aptus Behavioral Momentum ETF (BEMO) | BEMO changed its name and ticker to the Aptus Drawdown Managed Equity ETF (ADME) and dropped its index to become actively managed. |
| 11/6/2019 | Hartford Multifactor Low Volatility International Equity ETF (LVIN) | LVIN's ticker and name changed to Hartford Multifactor Diversified International ETF (RODE) and its index changed from the Hartford Multifactor Low Volatility Equity Index to the Hartford Multifactor Diversified International Index. |
| 11/6/2019 | Hartford Multifactor Global Small Cap ETF (ROGS) | ROGS' name and ticker changed to the Hartford Multifactor Small Cap ETF (ROSC) and it's index changed from the Hartford Risk Optimized Multifactor Global Small Cap Index to the Hartford Multifactor Small Cap Index. |
| 11/4/2019 | ARK Industrial Innovation ETF (ARKQ) | ARKQ changes its name to the ARK Autonomous Technology & Robotics ETF. |
| 11/4/2019 | ARK Web x.0 ETF (ARKW) | ARKW changes its name to ARK Next Generation Internet ETF. |
| 11/1/2019 | Premise Capital Frontier Advantage Diversified Tactical ETF (TCTL) | TCTL changes its name to the Premise Capital Diversified Tactical ETF. |
| 11/1/2019 | AdvisorShares Dorsey Wright ADR ETF (AADR) | AADR's expense ratio increased from 0.88% to 1.10%. |
| 11/1/2019 | AdvisorShares Vice ETF (ACT) | ACT's expense ratio increased from 0.75% to 0.99%. |
| 11/1/2019 | AGFiQ U.S. Market Neutral Anti Beta Fund (BTAL) | BTAL's expense ratio increased from 0.76% to 2.11%. |
| 11/1/2019 | VictoryShares Emerging Market High Div Volatility Wtd ETF (CEY) | CEY's expense ratio increased from 0.50% to 0.51%. |
| 11/1/2019 | AGFiQ U.S. Market Neutral Value Fund (CHEP) | CHEP's expense ratio increased from 1.12% to 1.91%. |
| 11/1/2019 | AdvisorShares Focused Equity ETF (CWS) | CWS's expense ratio increased from 0.68% to 0.85%. |
| 11/1/2019 | AdvisorShares DoubleLine Value Equity ETF (DBLV) | DBLV's expense ratio increased from 0.90% to 0.91%. |
| 11/1/2019 | AGFiQ Hedged Dividend Income Fund (DIVA) | DIVA's expense ratio increased from 0.75% to 1.10%. |
| 11/1/2019 | AdvisorShares Dorsey Wright Micro Cap ETF (DWMC) | DWMC's expense ratio increased from 0.99% to 1.25%. |
| 11/1/2019 | AdvisorShares Dorsey Wright Short ETF (DWSH) | DWSH's expense ratio increased from 0.99% to 3.07%. |
| 11/1/2019 | AdvisorShares Pacific Asset Enhanced Floating Rate ETF (FLRT) | FLRT's expense ratio decreased from 1.14% to 1.13%. |
| 11/1/2019 | AdvisorShares FolioBeyond Smart Core Bond ETF (FWDB) | FWDB's expense ratio decreased from 1.41% to 1.31% |
| 11/1/2019 | AdvisorShares Ranger Equity Bear ETF (HDGE) | HDGE's expense ratio increased from 2.72% to 3.12%. |
| 11/1/2019 | AdvisorShares Newfleet Multi Sector Income ETF (MINC) | MINC's expense ratio increased from 0.69% to 0.76%. |
| 11/1/2019 | AGFiQ U.S. Market Neutral Momentum Fund (MOM) | MOM's expense ratio increased from 1.88% to 2.62%. |
| 11/1/2019 | AGFiQ U.S. Market Neutral Size Fund (SIZ) | SIZ's expense ratio increased from 1.71% to 2.82%. |
| 11/1/2019 | AGFiQ Dynamic Hedged U.S. Equity ETF (USHG) | USHG's expense ratio increased from 0.55% to 0.87%. |
| 11/1/2019 | AdvisorShares Sage Core Reserves ETF (VEGA) | VEGA's expense ratio decreased from 2.06% to 2.04%. |
| 11/4/2019 | Aberdeen Standard Physical Gold Shares ETF (SGOL) | SGOL undergoes a 10-for-1 forward share split. |
| 10/28/2019 | Impact Shares NAACP Minority Empowerment ETF (NACP) | NACP's expense ratio was lowered from 0.76% to 0.75%. |
| 10/28/2019 | Impact Shares Sustainable Development Goals Global Equity ETF (SDGA) | SDGA's expense ratio was lowered from 0.76% to 0.75%. |
| 10/28/2019 | Impact Shares YWCA Women's Empowerment ETF (WOMN) | WOMN's expense ratio was lowered from 0.76% to 0.75%. |
| 10/25/2019 | WBI BullBear Rising Income 3000 ETF (WBIE) | WBIE acquired the WBI BullBear Rising Income 2000 ETF (WBIA) and changed its name from the WBI BullBear Rising Income 1000 ETF. |
| 10/25/2019 | WBI BullBear Value 3000 ETF (WBIF) | WBIF acquired the WBI Bull Bear Value 2000 ETF (WBIB) and changed its name from the WBI BullBear Value 1000 ETF. |
| 10/25/2019 | WBI BullBear Yield 3000 ETF (WBIG) | WBIG acquired the WBI BullBear Yield 2000 ETF (WBIC) and changed its name from the WBI BullBear Yield 1000 ETF. |
| 10/25/2019 | WBI BullBear Quality 3000 ETF (WBIL) | WBIL acquired the WBI BullBear Quality 2000 ETF (WBID) and changed its name from the WBI BullBear Quality 1000 ETF. |
| 10/22/2019 | Direxion Daily S&P Oil & Gas Exp. & Prod. Bull 3X Shares (GUSH) | GUSH will undergo a 1-for-10 reverse split on 11/22/2019. |
| 10/21/2019 | American Energy Independence ETF (USAI) | USAI will reorganize into the newly created Pacer American Energy Independence ETF in December 2019. |
| 10/21/2019 | Aptus Behavioral Momentum ETF (BEMO) | BEMO will change its name and ticker to Aptus Drawdown Managed Equity ETF (ADME) and drop its index, the Aptus Behavioral Momentum Index, to become actively managed as of 11/8/2019. |
| 10/21/2019 | Premise Capital Frontier Advantage Diversified Tactical ETF (TCTL) | TCTL will change its name to the Premise Capital Diversified Tactical ETF as of 11/1/2019. |
| 10/14/2019 | Salt Low truBeta US Market ETF (LSLT) | LSLT will reorganize into a corresponding, newly created series of ETF Series Solutions with the same name in December |
| 10/11/2019 | Aberdeen Standard Physical Swiss Gold Shares ETF (SGOL) | SGOL to undergo 10-for-1 forward split on 11/1/2019. |
| 10/4/2019 | United States 3x Short Oil Fund (USOD) | USOD underwent a 1-for-2 reverse split. |
| 10/2/2019 | Franklin Liberty U.S. Low Volatility ETF (FLLV) | FLLV's expense ratio was lowered from 0.50% to 0.29%. |
| 10/1/2019 | ProShares Global Listed Private Equity ETF (PEX) | PEX's expense ratio was raised from 2.78% to 3.13%. |
| 10/1/2019 | Xtrackers MSCI Japan Hedged Equity ETF (DBJP) | DBJP's expense ratio was cut from 0.46% to 0.45%. |
| 10/1/2019 | Xtrackers MSCI Europe Hedged Equity ETF (DBEU) | DBEU's expense ratio was cut from 0.46% to 0.45%. |
| 10/1/2019 | Xtrackers Harvest CSI 300 China A-Shares ETF (ASHR) | ASHR's expense ratio was cut from 0.66% to 0.65%. |
| 10/1/2019 | SPDR Nuveen S&P High Yield Municipal Bond ETF (HYMB) | HYMB's name changed to the SPDR Nuveen Bloomberg High Yield Municipal Bond ETF, while its index changed from the S&P Municipal Yield Index to the Bloomberg Barclays Municipal High Yield Index. |
| 9/30/2019 | FormulaFolios Tactical Growth ETF (FFTG) | The expense ratio for SECT was lowered from 1.04% to 1.02%. |
| 9/30/2019 | Main Sector Rotation ETF (SECT) | The expense ratio for SECT was raised from 0.78% to 0.83%. |
| 9/23/2019 | SPDR ACWI IMI ETF (ACIM) | ACIM changed its name to the SPDR Portfolio MSCI Global Stock Market ETF and its ticker to SPGM. The expense ratio was lowered from 0.25% to 0.09%. |
| 9/23/2019 | SPDR Bloomberg Barclays Corporate Bond ETF (CBND) | CBND changed its name to the SPDR Portfolio Corporate Bond ETF and its ticker to SPBO. |
| 9/23/2019 | SPDR ICE BofAML Broad High Yield Bond ETF (CJNK) | CJNK changed its name to the SPDR Portfolio High Yield Bond ETF and its ticker to SPHY. |
| 9/23/2019 | SPDR STOXX Europe 50 ETF (FEU) | FEU has changed its index from the STOXX Europe 50 Index to the STOX Europe Total Market Index. It also changed its name to the SPDR Portfolio Europe ETF and its ticker to SPEU. The expense ratio was cut from 0.29% to 0.09%. |
| 9/23/2019 | SPDR Bloomberg Barclays TIPS ETF (IPE) | IPE changed its name to the SPDR Portfolio TIPS ETF and its ticker to SPIP. The expense ratio was cut from 0.15% to 0.12%. |
| 9/23/2019 | SPDR Bloomberg Barclays Intermediate Term Treasury ETF (ITE) | ITE changed its name to the SPDR Portfolio Intermediate Term Treasury ETF and its ticker to SPTI. |
| 9/23/2019 | SPDR Portfolio Mortgage Backed Bond ETF (MBG) | MBG changed its name to the SPDR Portfolio Mortgage Backed Bond ETF and its ticker to SPMB. |
| 9/23/2019 | iShares Global Consumer Discretionary ETF (RXI) | The index for RXI changed from the S&P Global 1200 Consumer Discretionary Index to the S&P Global 1200 Consumer Discretionary (Sector) Capped Index. |
| 9/23/2019 | United States 3x Short Oil Fund (USOD) | USOD will undergo a reverse 1-for-2 reverse split on 10/4/2019. |
Contact Heather Bell at [email protected]
