S&P Dow Jones Indices launches the Dow Jones Sustainability Europe Diversified High Beta High Dividend Index which is designed to measure high income liquid stocks with high historical beta within the Dow Jones Sustainability Europe Diversified Index.
The Index has also been designed for tradability and has been licensed to UBS for product development.
The Index contains 50 of the high yielding high beta companies within the Dow Jones Sustainability Europe Diversified Index, which in turn is part of the Dow Jones Sustainability Diversified family of indices (DJSI Diversified).
The DJSI Diversified family is maintained collaboratively by S&P Dow Jones Indices and RobecoSAM. Under the diversified approach, the most sustainable companies from the global or regional S&P BMI universe are selected while ensuring that the resulting sustainability index has minimal country, sector or size biases relative to its reference S&P BMI benchmark.
“We are excited to launch a smart beta ESG index that will allow investors to measure performance of sustainable firms that also have desirable dividend income and tradability characteristics,“ says Tianyin Cheng, Associate Director, Strategy Indices, S&P Dow Jones Indices. “The Dow Jones Sustainability Europe Diversified High Beta High Dividend Index adds to our growing offering in the ESG smart beta space”
“We are proud to yet again collaborate with S&P Dow Jones Indices for the launch of this ESG Smart Beta Index. It shows that there is an increasing demand for ESG solutions within the smart beta space”, says Guido Giese (pictured), Head of Indices, RobecoSam.
"Investor interest in sustainability has grown considerably in recent years, driven by the aspiration to make a positive impact and the belief that sustainability has become a factor of performance and risk mitigation," says Xavier de La Porte du Theil, Head of Investment Strategies Structuring, UBS. "The characteristics of the Dow Jones Sustainability Europe Diversified High Beta High Dividend Index make it an attractive underlying for both income and growth-seeking structured products."
