(IUSK) iShares MSCI Europe SRI - Ratings and Ratios

The iShares MSCI Europe SRI UCITS ETF EUR (Acc) is designed to offer a comprehensive total return, encompassing both capital and income, by tracking the MSCI Europe SRI Select Reduced Fossil Fuel Index. This index is tailored for ESG-focused investors, emphasizing companies with strong sustainability profiles and reduced fossil fuel exposure.

The funds portfolio closely mirrors its benchmark, utilizing optimization techniques to replicate performance without necessarily holding every constituent. This approach allows for flexibility and efficiency, ensuring alignment with the indexs returns while managing costs and turnover.

As an ESG investment vehicle, the fund prioritizes environmental, social, and governance criteria, particularly targeting European large-cap companies. This focus is increasingly relevant given Europes leadership in sustainability and renewable energy initiatives, making it an attractive option for those aligning their investments with global ESG trends.

Optimization techniques enable the fund to achieve its objectives without holding every index constituent, which can enhance liquidity and reduce tracking error. This strategy is particularly beneficial in less liquid markets, ensuring the fund remains efficient and cost-effective.

Domiciled in Ireland, the fund is structured to comply with UCITS regulations, offering a robust framework for European investors. It has garnered a Morningstar DM Europe Target Market Environmental (TME) NR EUR rating, reflecting its adherence to ESG principles and its appeal to sustainability-focused portfolios.

With an AUM of 3127.85M EUR and an expense ratio of 0.20%, the fund provides a cost-effective entry into European ESG equities. Its focus on large-cap companies ensures exposure to established, financially stable entities, making it suitable for investors seeking balanced ESG-aligned returns.