Vanguard launches ESG corporate bond ETF
Vanguard has launched a corporate bond ETF designed to be a “core building block” for ESG portfolios.
The Vanguard ESG Global Corporate Bond Ucits ETF screens out bonds associated with non-ESG areas, such as non-renewable energy and vice products.
The benchmark that the product tracks is the Bloomberg Barclays MSCI Global Corporate Float-Adjusted Liquid Bond Screened Index and the ongoing charges figure for the ETF is 0.15%.
Fong Yee Chan, head of ESG strategy, UK and Europe, said Vanguard was working to deliver long-term ESG strategies and that the latest ETF helped investors mitigate ESG risk or avoid companies that don’t align with their values.