HSBC AM launches sustainable European-focused ETF

Article 8 fund

HSBC Asset Management has launched a new European-focused ETF, expanding its sustainable range after the recent introductions of the firm’s Paris Aligned Benchmark and fixed income sustainable ranges.

The HSBC Europe ex UK Sustainable Equity UCITS ETF launched today on the London Stock Exchange and is classified as Article 8 under the Sustainable Finance Disclosure Regulation. HSBC said that the fund will be rebalanced on a monthly basis, allowing the screen methodology to adapt "as ESG practices evolve and issuers disclose more data around their ESG thinking". The fund aims to surpass the parent index by achieving an ESG score improvement of up to 20%, a carbon emission intensity reduction target of up to 50%, and a fossil fuel reserve reduction target of up to 50%. Interview: ...