- FTSE MIB ESG Risk-Adjusted Index is constructed with adjusted constituent weights to account for risks and opportunities associated with ESG and climate issues
- The index launch follows increased client demand for a MIB market index with ESG considerations
- The new index joins the successful FTSE ESG Risk-Adjusted Index Series launched in April 2023
FTSE Russell today announces the launch of the FTSE MIB ESG Risk-Adjusted Index. The new FTSE MIB ESG Risk-Adjusted Index provides investors with improved index level ESG performance, adjusting ESG and carbon risks, active industry weights and maximum stock weight with a low tracking error.
The new index will adjust for ESG and Carbon risks within the universe by tilting away from companies with fossil fuel reserves and carbon emissions and tilting towards companies with higher ESG scores. The index will incorporate a range of exclusions, focusing on controversial weapons, tobacco, thermal coal (extraction and energy generation), oil sands, shale energy, and Arctic exploration. Companies that potentially breach the United Nations Global Compact principles are also excluded.
Stephanie Maier, Head of Sustainable at FTSE Russell comments:
“Increasingly, investors are seeking products that provide a simple alternative to flagship market cap benchmarks with a greater emphasis on ESG risks to complement more focused sustainable strategies. This launch is in response to growing customer demand and will provide investors with a tool to access equity market exposure whilst also reducing exposure to key ESG risks.”
The launch of the FTSE MIB ESG Risk-Adjusted Index provides investors with broad exposure to the Italian stock market, whilst improving the ESG and climate risk characteristics of their portfolio. The FTSE MIB ESG Risk-Adjusted Index joins the FTSE ESG Risk-Adjusted Index Series family1 launched in April 2023. Visit the FTSE Russell website for more information.
Notes to editors
1 The FTSE ESG Risk-Adjusted Index Series includes the following indices:
- FTSE 100 ESG Risk-Adjusted Index
- FTSE 250 ESG Risk-Adjusted Index
- FTSE 350 ESG Risk-Adjusted Index
- FTSE All-Share ESG Risk-Adjusted Index
- FTSE MIB ESG Risk-Adjusted Index
- Russell 1000 ESG Risk-Adjusted Index
- Russell 2000 ESG Risk-Adjusted Index
- Russell 3000 ESG Risk-Adjusted Index
- Russell 1000 Growth ESG Risk-Adjusted Index
- Russell 1000 Value ESG Risk-Adjusted Index
- Russell Midcap ESG Risk-Adjusted Index
- Russell 2500 ESG Risk-Adjusted Index
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About FTSE Russell, an LSEG business
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For more information, visit FTSE Russell.
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