The family offers investors a similar risk profile and financial performance as the S&P Global LargeMidCap Index and its regional subsets, yet with a significantly higher exposure to sustainability.
The S&P ESG Sovereign Bond Index family offers investors exposure to the same sovereign bonds as standard cap-weighted sovereign bond indices but tilts the country weights towards more sustainable countries, based on RobecoSAM’s Country Sustainability Ranking.
The family tracks the performance of companies in the S&P Global 1200 Index and its regional subsets that do not own fossil fuel reserves, while overweighting and underweighting companies based on their levels of carbon emissions.
The S&P ESG Factor Weighted index family offers investors exposure to the same companies as the underlying benchmark index family, but weights the components according to their ESG profile instead of using free-float market-cap weights. The ESG scores used in the weighting scheme are based on RobecoSAM’s Smart ESG methodology. It is the first global index family to use ESG as a performance factor for smart beta indices.
Each multi-factor index launched by SPDJI and RobecoSAM uses a transparent and robust methodology combining the benefits of the selected financial factors and ESG. One prominent example of how we combine common factors with ESG to construct a multi-factor index is the S&P Long-Term Value Creation Global Index.