By Dieter Holger

 

Invesco Ltd. launched a Canadian exchange-traded fund based on environmental, social and governance standards invested in companies in the country.

The Atlanta, Ga.-based investment manager said Thursday that the new Invesco S&P/TSX Composite ESG Index ETF, trading under the ticker symbol ESGC on the Toronto Stock Exchange, tracks the S&P/TSX Composite ESG Index from S&P Global Inc., which holds 95 Canadian companies and screens out stocks from the parent benchmark that don't meet certain sustainability criteria.

Top holdings include Shopify Inc., Royal Bank of Canada, Canadian National Railway Co. and Enbridge Inc. It charges a management fee of 0.15%, or $15 for every $10,000 invested a year.

The ETF screens out the bottom quarter of the parent index by industry based on their ESG scores. It also excludes companies that generate more than 5% of their revenues from coal, are involved in tobacco and controversial weapons like landmines and nuclear, and those that score in the bottom 5% of the United Nations Global Compact.

In March, Invesco listed an ETF on the Toronto Stock Exchange, trading under the symbol ESG, which invests in the S&P 500 ESG Index.

 

Write to Dieter Holger at dieter.holger@wsj.com; @dieterholger

 

(END) Dow Jones Newswires

October 08, 2020 12:35 ET (16:35 GMT)

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