Skip to main content

You are here

Taiwan Bureau of Labor Funds selects FTSE4Good TIP Taiwan ESG Index for $1.4 billion mandate

  • BLF first fund to track FTSE4Good TIP Taiwan ESG Index 
  • BLF has issued a 5-year passive mandate with an initial total size of USD $1.4 billion 
  • Growing demand for sustainable investment and globally recognised ESG standards in the domestic Taiwanese market 
  • FTSE4Good TIP Taiwan ESG Index is part of FTSE Russell’s extensive sustainable investment index and data offering

 


FTSE Russell, the global index and data provider, is delighted to announce that the Taiwan Bureau of Labor Funds (BLF), one of the largest public-sector funds in Asia has selected the FTSE4Good TIP Taiwan ESG Index for a significant new equity mandate. BLF has issued a five year passive mandate with an initial total size of USD $1.4 billion.

The FTSE4Good TIP Taiwan ESG Index was launched in December 2017 and was developed in partnership with Taiwan Stock Exchange’s (“TWSE”) wholly-owned subsidiary, Taiwan Index Plus Corp (TIP). The FTSE4Good TIP Taiwan ESG Index is part of FTSE Russell’s extensive Sustainable Investment index and data offering and reflects the performance of companies listed on the Taiwan Stock Exchange that meet the globally recognised ESG inclusion standards used by the FTSE4Good Index Series.

FTSE Russell continues to see a growing demand, both in Asia and globally, for asset owners to integrate ESG considerations into their investment strategies. This trend started with active funds but now ESG integration into passive strategies is also gaining momentum. This is a global trend, and in Asia this follows the decision by the Government Pension Investment Fund (GPIF) of Japan to select the FTSE Blossom Japan Index as a core ESG benchmark through its flagship fund.

The FTSE4Good TIP Taiwan ESG Index is constructed using the FTSE4Good methodology with selection criteria covering ESG Ratings as well as financial performance criteria. The ESG Ratings are comprised of an overall Rating that breaks down into underlying ESG exposure measures and performance score that are built on over 300 individual indicator assessments. The index is designed for use in the creation of index tracking funds, derivatives and as performance benchmarks.

Jessie Pak, Managing Director, Asia, FTSE Russell said:
“We are delighted to be working with the Taiwan Bureau of Labor Funds to support them in integrating ESG considerations into their investment strategies. Our recently launched FTSE4Good TIP Taiwan ESG index supports the growing demand for sustainable investment and globally recognised ESG standards in the domestic Taiwanese market. This important new FTSE Russell passive ESG allocation builds on our strong momentum and track record in this area”. Billy Wang, President and CEO, Taiwan Index Plus Corporation said: “As sustainable investing is gaining traction among international investment communities, institutional investors in Taiwan are also placing priority in embracing sustainable investment performance and disclosure. Taiwan Bureau of Labor Funds (BLF), as the leading national public pension fund, was not only the first to endorse the stewardship code in Taiwan but is also the first to select the FTSE4Good TIP Taiwan ESG Index as a core ESG benchmark. This further recognises the growing importance of sustainable investing in Taiwan”.

Billy Wang, President and CEO, Taiwan Index Plus Corporation said:
“As sustainable investing is gaining traction among international investment communities, institutional investors in Taiwan are also placing priority in embracing sustainable investment performance and disclosure. Taiwan Bureau of Labor Funds (BLF), as the leading national public pension fund, was not only the first to endorse the stewardship code in Taiwan but is also the first to select the FTSE4Good TIP Taiwan ESG Index as a core ESG benchmark. This further recognises the growing importance of sustainable investing in Taiwan”. 

 

For further information:

London - Lucie Holloway
+44 (0)20 7797 1222
newsroom@lseg.com

 

 

Notes to editors:

 

About FTSE Russell:
FTSE Russell is a leading global index provider creating and managing a wide range of indexes, data and analytic solutions to meet client needs across asset classes, style and strategies. Covering 98% of the investable market, FTSE Russell indexes offer a true picture of global markets, combined with the specialist knowledge gained from developing local benchmarks around the world.

FTSE Russell index expertise and products are used extensively by institutional and retail investors globally. Approximately $15 trillion is currently benchmarked to FTSE Russell indexes. For over 30 years, leading asset owners, asset managers, ETF providers and investment banks have chosen FTSE Russell indexes to benchmark their investment performance and create investment funds, ETFs, structured products and index-based derivatives. FTSE Russell indexes also provide clients with tools for asset allocation, investment strategy analysis and risk management.

A core set of universal principles guides FTSE Russell index design and management: a transparent rules-based methodology is informed by independent committees of leading market participants. FTSE Russell is focused on index innovation and customer partnership applying the highest industry standards and embracing the IOSCO Principles. FTSE Russell is wholly owned by London Stock Exchange Group.

For more information, visit www.ftserussell.com 

© 2018 London Stock Exchange Group plc and its applicable group undertakings (the “LSE Group”). The LSE Group includes (1) FTSE International Limited (“FTSE”), (2) Frank Russell Company (“Russell”), (3) FTSE TMX Global Debt Capital Markets Inc. and FTSE TMX Global Debt Capital Markets Limited (together, “FTSE TMX”) and (4) MTSNext Limited (“MTSNext”). All rights reserved.

FTSE Russell® is a trading name of FTSE, Russell, FTSE TMX and MTS Next Limited. “FTSE®”, “Russell®”, “FTSE Russell®” “MTS®”, “FTSE TMX®”, “FTSE4Good®” and “ICB®” and all other trademarks and service marks used herein (whether registered or unregistered) are trade marks and/or service marks owned or licensed by the applicable member of the LSE Group or their respective licensors and are owned, or used under licence, by FTSE, Russell, MTSNext, or FTSE TMX.

All information is provided for information purposes only. Every effort is made to ensure that all information given in this publication is accurate, but no responsibility or liability can be accepted by any member of the LSE Group nor their respective directors, officers, employees, partners or licensors for any errors or for any loss from use of this publication or any of the information or data contained herein.

No member of the LSE Group nor their respective directors, officers, employees, partners or licensors make any claim, prediction, warranty or representation whatsoever, expressly or impliedly, either as to the results to be obtained from the use of the FTSE Russell Indexes or the fitness or suitability of the Indexes for any particular purpose to which they might be put.

No member of the LSE Group nor their respective directors, officers, employees, partners or licensors provide investment advice and nothing in this communication should be taken as constituting financial or investment advice. No member of the LSE Group nor their respective directors, officers, employees, partners or licensors make any representation regarding the advisability of investing in any asset. A decision to invest in any such asset should not be made in reliance on any information herein. Indexes cannot be invested in directly. Inclusion of an asset in an index is not a recommendation to buy, sell or hold that asset. The general information contained in this publication should not be acted upon without obtaining specific legal, tax, and investment advice from a licensed professional.

No part of this information may be reproduced, stored in a retrieval system or transmitted in any form or by any means, electronic, mechanical, photocopying, recording or otherwise, without prior written permission of the applicable member of the LSE Group. Use and distribution of the LSE Group index data and the use of their data to create financial products require a licence from FTSE, Russell, FTSE TMX, MTSNext and/or their respective licensors.