(SUSM) iShares MSCI EM SRI USD - Ratings and Ratios

The iShares MSCI EM SRI UCITS ETF USD (Acc) CHF (SW:SUSM) is an exchange-traded fund managed by BlackRock, one of the worlds largest asset managers. The fund is domiciled in Ireland, a common choice for European ETFs due to its favorable regulatory environment and tax efficiencies for cross-border distributions.

The ETF tracks the Morningstar EM TME NR USD index, which focuses on emerging markets equities with a sustainability tilt. Morningstar, the index provider, incorporates ESG (Environmental, Social, and Governance) criteria to exclude companies involved in controversial activities such as fossil fuels, nuclear power, and weapons. This makes the fund appealing to investors seeking exposure to emerging markets with a sustainable and responsible investment approach.

From a structural standpoint, the fund is a UCITS-compliant ETF, meaning it adheres to the European Unions Undertakings for the Collective Investment in Transferable Securities framework. This ensures transparency, liquidity, and investor protection. The fund is listed on the SIX Swiss Exchange under the ticker SUSM and is denominated in Swiss Francs, making it accessible to Swiss and European investors.

As of recent data, the fund has approximately $2.896 billion in assets under management (AUM), indicating significant investor interest in its sustainable emerging markets strategy. The ETF employs a replication strategy, meaning it aims to track the index as closely as possible, typically through direct holdings of the underlying securities. This approach minimizes tracking error and ensures that investors gain exposure to the targeted assets.

From an investment perspective, the fund offers a way to access emerging markets equities while aligning with ESG principles. Emerging markets are a key driver of global growth, and this ETF provides a diversified exposure across regions and sectors. However, investors should be aware of the inherent risks associated with emerging markets, including political instability, currency volatility, and liquidity risks.