Vanguard files for two ETFs with ESG focus

Vanguard files for two ETFs with ESG focus
One fund to be U.S.-oriented, one will be international.
JUN 27, 2018

Vanguard filed a preliminary registration statement with the Securities and Exchange Commission for two exchange-traded funds to complement its existing environmental, social and governance (ESG) mutual fund. The two new funds, the Vanguard ESG U.S. Stock ETF and the Vanguard ESG International Stock ETF, will join Vanguard's FTSE Social Index Fund. The two new funds are expected to begin trading in September. The Vanguard ESG U.S. Stock ETF will seek to track the FTSE US All Cap Choice Index, a market-cap weighted benchmark comprising large-, mid-, and small-cap U.S. stocks screened on specific environmental, social, and governance criteria. (More:​ International ETFs ready for takeoff) For the Vanguard ESG International Stock ETF, the target benchmark will be the FTSE Global All Cap ex US Choice Index, a similar market-cap weighted benchmark that excludes U.S. companies. The estimated expense ratios for the new ETFs are 0.12% and 0.15%, respectively. Vanguard's Equity Index Group will serve as the investment adviser for both ETFs.

Latest News

SEC to lose Hester Peirce, deepening a commissioner crisis
SEC to lose Hester Peirce, deepening a commissioner crisis

The "Crypto Mom" departure would leave the SEC commission with just two members and no Democratic commissioners on the panel.

Florida B-D, RIA owner pitches bold long-term plan to sell to advisors
Florida B-D, RIA owner pitches bold long-term plan to sell to advisors

IFP Securities’ owner, Bill Hamm, has a long-term plan for the firm and its 279 financial advisors.

Fintech bytes: Vanilla, Wealth.com forge new estate planning partnerships
Fintech bytes: Vanilla, Wealth.com forge new estate planning partnerships

Meanwhile, a Osaic and Envestnet ink a new adaptive wealthtech partnership to better support the firm's 10,000-plus advisors, and RIA-focused VastAdvisor unveils native integrations with leading CRMs.

Fiduciary failure: Ex-advisor who sold practice fined after clients lost millions
Fiduciary failure: Ex-advisor who sold practice fined after clients lost millions

A former Alabama investment advisor and ex-Kestra rep has been permanently barred and penalized after clients he promised to protect got caught in a $2.6 million fraud.

Why the evolution of ETFs is changing the due diligence equation
Why the evolution of ETFs is changing the due diligence equation

As more active strategies get packaged into the ETF wrapper, advisors and investors have to look beyond expense ratios as the benchmark for value.

SPONSORED Are hedge funds the missing ingredient?

Wellington explores how multi strategy hedge funds may enhance diversification

SPONSORED Beyond wealth management: Why the future of advice is becoming more human

As technical expertise becomes increasingly commoditized, advisors who can integrate strategy, relationships, and specialized expertise into a cohesive client experience will define the next era of wealth management