(SODJ) iShares MSCI Japan ESG - Ratings and Ratios

The iShares MSCI Japan ESG Screened UCITS ETF USD (Dist) is a BlackRock-managed fund designed for investors seeking exposure to Japanese equities with a focus on environmental, social, and governance (ESG) criteria. Listed on XETRA under the ticker SODJ, this ETF is structured as an Irish-domiciled UCITS fund, offering a tax-efficient vehicle for European investors. The fund tracks the Morningstar Japan TME NR JPY Index, which incorporates ESG screening to exclude companies involved in controversial activities such as fossil fuels, nuclear power, and weapons.

With a market capitalization of approximately €2.132 billion, this ETF is classified under the Japan Large-Cap Equity category, reflecting its focus on large-cap Japanese companies that meet ESG standards. The fund employs a passive investment strategy, aiming to replicate the performance of its underlying index. It distributes dividends annually, aligning with the payout schedules of its constituent companies. While the fund does not disclose specific price-to-earnings (P/E), price-to-book (P/B), or price-to-sales (P/S) ratios, these metrics are typically available for the underlying index and can provide additional insight into the valuation of the portfolio.

For investors and fund managers, this ETF offers a liquid and cost-effective way to gain exposure to Japans large-cap market while aligning with ESG principles. The funds ESG screening process ensures that investors avoid companies with significant ESG risks, making it a more sustainable option for those integrating ESG considerations into their portfolios. However, as with any ETF, it is important to evaluate the funds tracking error, expense ratio, and liquidity to ensure it meets specific investment objectives and risk tolerance.