Methodology change | Solactive Ethical Europe Climate Care Low Carbon Index PR| Effective Date 19 October 2021
Today, on the 18th of October 2021, Solactive announces the following changes to the methodology of the following indices (the ‘Affected Indices’):
NAME |
RIC |
ISIN |
Solactive Ethical Europe Climate Care Low Carbon Index PR |
.SOLCARLC |
DE000SLA8MR5 |
Solactive Ethical Europe Climate Care Low Carbon Index NTR |
.CARLCNTR |
DE000SLA8MU9 |
Solactive Ethical Europe Climate Care Low Carbon Index TR |
.CARLCGTR |
DE000SLA8MW5 |
Rationale for methodology change
Solactive has determined that the current selection criteria as portrayed in the guideline were no longer in line with the prescribed ESG standards underpinning the selection of the Affected Indices’ members. Hence, various selection criteria will be modified in order to comply with the new ESG standards. The changes are reflected in the description of the selection criteria under section 4 the index Guideline of the Affected Indices.
Changes to the Index Guideline
The following Methodology changes will be implemented in the following points of the Index Guideline:
The wording in Section 4 of the index guideline is replaced by the following wording:
“No major involvement in Weapon and Nuclear:
See tables for details
The following criteria will be incorporated under the section 4.(e) with the following wording:
“No major involvement in Controversial Activity as defined by the Revised Towards Sustainability Quality Standard available under the following links:
https://www.towardssustainability.be/sites/default/files/files/RevisedQS_Technical_20210531.pdf. .”
The following definitions will be incorporated under the section 4.(f) with the following wording:
“Revised Towards Sustainability Quality Standard” incorporated by reference and available here the following links:”
“https://www.towardssustainability.be/sites/default/files/files/RevisedQS_Technical_20210531.pdf
Previous version: https://towardssustainability.be/sites/default/files/files/OriginalQS_Final_201902.pdf”
The following criteria will be incorporated under the section 4.(i) with the following wording:
“In instances whereby the currently applied criteria are stricter than the requirements of the Revised Towards Sustainability Quality Standard, the Index Administrator will adhere to the stricter criteria as defined in the guideline.”
The following criteria will be incorporated under the section 4.(j) with the following wording:
“Comply with the Revised Towards Sustainability Quality Standard eligibility according to the ESG Research Provider which is defined as follows:”
The following definitions will be incorporated under the section 4 with the following wording:
“Controversial Activity” shall have the meaning as defined by the Revised Towards Sustainability Quality Standard.”
The following definitions will be incorporated under the section 4 with the following wording:
“Revised Towards Sustainability Quality Standard” incorporated by reference and available here the following links: https://www.towardssustainability.be/sites/default/files/files/RevisedQS_Technical_20210531.pdf
Previous versions: https://towardssustainability.be/sites/default/files/files/OriginalQS_Final_201902.pdf”
The following definition will be removed from the section 4:
“FEBELFIN” is the official Belgian federation of the financial sector.”
The following definition will be removed from the section 4.i.2:
“Weapons: To be eligible. a company is not involved:
For more than 10% of its revenues in the production of conventional weapon of production of key parts and services for conventional weapons
Defined terms used in this announcement, but not defined herein, have the meaning assigned to them in the respective index guideline of the Affected Indices.