GRNVAU VanEck MSCI Australian Sustainable Equity ETF Please read important disclosure Close important disclosure false au en false false
  • GRNV
    VanEck MSCI Australian Sustainable Equity ETF

    GRNV
    VanEck MSCI Australian Sustainable Equity ETF

    • NAV
      $30.22

      as at 12-Apr-24
    • Total Net Assets
      $167.70M
    • Dividend Frequency
      2 each year
    • Management fee (p.a.)
      0.35%
    • Number of securities
      86
    • Inception Date
      27-Apr-16
    GRNV SQUARE LOGO UPDATE

    Overview

    Fund Description

    Our Australian sustainable ETF, GRNV gives investors access to a diversified portfolio of sustainable Australian companies selected on the basis of in-depth analysis by world leading research agency MSCI ESG Research. Our Australian sustainable ETF aims to provide investment returns, before fees and other costs, which track the performance of the Index. 

    Key benefits

    Australian equity portfolio incorporating investor values and beliefs

    True-to-label Australian sustainable equity ETF encompassing both values-based and environmental, social and governance (ESG) investing

    A focus on ethical standards through positive and negative screens

    Screening for fossil fuels, human rights controversies and socially responsible investments (SRI) combined with ESG leadership

    State-of-the-art ESG leadership approach

    Leveraging MSCI's leadership, resources and its ESG data metrics

    Index Key points

    Underlying index

    MSCI Australia IMI Select SRI Screened Index

    The Index comprises

    The Index includes Australian listed securities that have high Environmental, Social and Governance (ESG) performance by applying the following negative and positive screens:

    • Exclusion of companies whose business activities are not socially responsible (SRI), subject to satisfying various thresholds; and
    • Inclusion of only high ESG performers in each sector.

    The Index aims to achieve diversification by capping the maximum weight assigned to each security, thereby avoiding concentration risk.

    Summary of Index methodology

    The Index is constructed using the following steps

    1. The eligible universe of securities is defined as the securities in the MSCI Australia Domestic IMI Index.

    2. Securities are screened for exclusion based on the following business activities:

    Business activities Exclusion
    Adult entertainment All companies:
    • deriving 5% or more revenue from the production of adult entertainment materials; or
    • 15% or more aggregate revenue from the production, distribution and retail of adult entertainment materials.
    Alcohol All companies:
    • classified as a “Producer”; or
    • deriving 5% or more aggregate revenue from the production, distribution, retail and supply of alcohol-related products.
    Animal welfare All companies that:
    • are involved in commercial animal husbandry for the purpose of food production, including breeding, raising, and slaughtering pork, veal, poultry, and beef, as well as dairy and egg farm operators; or
    • All companies that conduct animal testing for non-pharmaceutical products such as cosmetic, personal care, and household cleaning products.
    Civilian firearms All companies:
    • classified as “Producer” of firearms and small arms ammunitions for civilian markets. It does not include companies that cater to the military, government, and law enforcement markets; or
    • deriving 5% or more revenue from the distribution (wholesale or retail) of firearms or small arms ammunition intended for civilian use.
    Conventional weapons All companies deriving:
    • 5% or more revenue from the production of conventional weapons; or
    • 15% or more aggregate revenue from weapons systems, components, and support systems and services.
    Controversial weapons All companies with “any tie” to Controversial Weapons (cluster munitions, landmines, depleted uranium weapons, biological/ chemical weapons, blinding lasers, nondetectable fragments and incendiary weapons). Any tie is defined by the methodology of the MSCI Global Ex-Controversial Weapons Indexes available in the documents section below.
    Fossil fuels All companies with “any tie” to fossil fuels (thermal coal, oil and gas), in particular reserve ownership, related revenues and power generation. Any tie is defined by the methodology of the MSCI Climate Change Metrics Methodology available in the documents section below.
    Gambling All companies deriving:
    • 5% or more revenue from ownership of operation of gambling-related business activities; or
    • 15% or more aggregate revenue from gambling-related business activities.
    Genetically modified organisms (GMO) All companies deriving 5% or more revenue from activities like genetically modifying plants, such as seeds and crops, and other organisms intended for agricultural use or human consumption.
    Nuclear power All companies with “any tie” to the nuclear power industry. Any tie is defined by the methodology of the MSCI ESG Business Involvement Screening Research Methodology available in the documents section below.
    Nuclear weapons All companies that:
    • manufacture nuclear warheads and/or whole nuclear missiles; or
    • manufacture components that were developed or are significantly modified for exclusive use in nuclear weapons (warheads and missiles); or
    • manufacture or assemble delivery platforms that were developed or significantly modified for the exclusive delivery of nuclear weapons; or
    • provide auxiliary services related to nuclear weapons; or
    • manufacture components that were not developed or not significantly modified for exclusive use in nuclear weapons (warheads and missiles) but can be used in nuclear weapons; or
    • manufacture or assemble delivery platforms that were not developed or not significantly modified for the exclusive delivery of nuclear weapons but have the capability to deliver nuclear weapons; or
    • manufacture components for nuclear-exclusive delivery platforms.
    Tobacco All companies:
    • classified as a “Producer”; or
    • deriving 5% or more aggregate revenue from the production, distribution, retail and supply of tobacco-related products.
    Soft Drinks All companies classified within the “Soft Drinks” sub-industry as per the Global Industry Classification Standard (GICS®) (the global industry classification standard jointly developed by MSCI Inc. and S&P Global).
    Nutrition and health All companies with a “Opportunities in Nutrition and Health score” greater than 2 (i.e. 3rd and 4th quartile). Companies that are classified within the “Household & Personal products” Industry group are exempted from exclusion due to this screening.

    3. Only companies with ESG controversy scores of green or yellow are included (based on MSCI’s scale of red, orange, yellow or green ESG controversy scores). Companies are required to have maintained the score for 4 quarterly rebalances before becoming eligible for inclusion.

    4. Companies are excluded based on MSCI flags in respect of human rights controversies (red, orange or yellow Human Rights controversy flags)

    5. Only companies with ESG rating ‘A’, ‘AA’ and ‘AAA’ are included (based on MSCI’s scale from ‘AAA’ to ‘CCC’). Companies are required to have maintained the rating for 6 quarterly rebalances before becoming eligible for inclusion.

    6. Companies with free float adjusted market capitalisation less than or equal to USD 750m (new constituents) or less than or equal to USD 500m (existing constituents) are excluded.

    7. The remaining companies are then weighted by their free float market capitalisation subject to a 5% individual weighting cap.

    Index provider

    MSCI Inc. MSCI is not a related entity of VanEck Investments Limited. GRNV is indexed to a MSCI index. GRNV is not sponsored, endorsed, or promoted by MSCI, and MSCI bears no liability with respect to GRNV or the MSCI Index. The PDS contains a more detailed description of the limited relationship MSCI has with VanEck and GRNV. For full details of the methodology, click here.

    Performance

    Holdings & allocations

    Dividends

    Election of Dividend Reinvestment Plan (DRP)

    You can elect DRP by logging into Link’s Investor Centre (https://investorcentre.linkmarketservices.com.au/Login). Once you are logged in, please proceed to the “Payments and Tax” tab and select “Reinvestment Update”.

    Documents & insights

    GRNVAU
    /blog/sustainability/