UBS has introduced the Global Gender Equality UCITS exchange-traded fund to its suite of investment products.
The ETF is a joint collaboration between UBS Asset Management and UBS Wealth Management and invests in the Solactive Equileap Global Gender Equality 100 Leaders index, according to a UBS statement.
The index is comprised of a hundred global companies with a “strong record” of gender diversity and sustainability based on 19 criteria for diversity, such as equal compensation, gender balance, work-life balance and sustainability policies.
Of the 100 companies on the index, 30 are highest rated stocks in the US, capping single issuers at 3 per cent of the ETF’s assets, the statement said.
“With its broad criteria, the index provides a higher overall gender equality score than other Global Gender Equality Indexes, while providing stable risk-adjusted performance.”
Commenting on the launch, UBS Asset Management head of sustainable and impact investing Michael Baldinger said that the ETF represented “another big step in sustainable and impact investing innovation”.
“The launch of this new ETF provides investors with a unique opportunity to benefit from systematically investing in the leading global companies on gender diversity, based on Equileap’s pioneering research into corporate gender diversity, while at the same time having the potential to achieve strong returns,” Mr Baldinger said.
UBS Wealth Management managing director Olga Miler added that the ETF was an example of how the company was upping its efforts for a better wealth management industry for women.
“Gender equality is important to our clients and our business,” Ms Miler said.
“The combination of broad gender equality criteria, sustainability and donation makes this ETF a leap step forward in connecting capital to the United Nations’ Sustainable Development Goal 5 – achieving gender equality and empowering all women and girls.”