(SUAS) iShares MSCI USA SRI USD - Ratings and Ratios

The investment objective of the iShares MSCI USA SRI UCITS ETF USD (Acc) CHF (SW:SUAS) is to deliver a total return, encompassing both capital and income, by tracking the performance of the MSCI USA SRI Select Reduced Fossil Fuel Index. This index is designed to reflect the equity performance of large and medium-capitalization US companies that meet specific ESG (Environmental, Social, and Governance) criteria, while also reducing exposure to fossil fuels. The fund is managed by BlackRock, a leading global asset manager, and is domiciled in Ireland, providing a regulated and transparent investment structure for European investors.

Trading under the ticker symbol SUAS on the Swiss stock exchange (SWX), this ETF offers Swiss investors access to a portfolio of US large-cap equities aligned with sustainability principles. The funds index, the Morningstar US Large-Mid NR USD, underscores its focus on blending large and mid-cap companies, ensuring diversification across various sectors and market capitalizations. With an AUM of approximately $5.04 billion, the ETF benefits from scale, which can enhance liquidity and reduce trading costs for investors.

The ETF employs a physical replication strategy, meaning it holds the securities of the underlying index to closely track its performance. This approach minimizes tracking error and ensures that investors gain exposure to companies that meet rigorous ESG standards while significantly reducing their exposure to fossil fuel reserves. The funds expense ratio is competitive, making it an attractive option for cost-conscious investors seeking ESG-aligned exposure to the US market.

Key considerations for investors include the funds liquidity, with average trading volumes sufficient to support efficient buying and selling. Additionally, the ETFs UCITS compliance ensures adherence to stringent European regulatory standards, providing an added layer of investor protection. This fund is particularly suitable for investors looking to integrate ESG principles into their portfolios or those seeking to reduce their carbon footprint by avoiding fossil fuel-intensive companies.