The FTSE Blossom Japan Index Series is designed to measure the performance of Japanese companies that demonstrate specific Environmental, Social and Governance (ESG) practices. The indexes are constructed so that industry or sector weights align with the Japanese equity market, while aiming to maintain similar ICB sector characteristics to the underlying universe.
There are two indices within the family, the FTSE Blossom Japan Index and FTSE Blossom Japan Sector Relative Index which:
The indexes can be used as performance benchmarks, or as the basis for index-linked products including index tracking funds, derivatives, and Exchange Traded Funds (ETFs).
|FTSE Blossom Japan Index||FTSE Blossom Japan Sector Relative Index|
|310 Japanese securities, as of 19 June 2023||605 Japanese securities, as of 19 June 2023|
|Industry-neutral approach to minimize industry bias by matching weights with those of the underlying index||Sector-neutral approach to minimize sector bias by matching weights with those of the underlying Index|
|Selects Japanese companies with ESG Rating 3.3 and above||Selects Japanese companies in the top 50% of each sector and with ESG Rating 2.0 and above|
|Since 2017, demonstrates a clear ESG standard for market participants and companies to utilize in their stewardship and engagement efforts||Supports climate transition to a low carbon economy by evaluating companies’ climate governance and climate change efforts with TPI Management Quality Score|
Index rules should be read in conjunction with supportingFTSE Russell noticesThese notices advise of advance changes in index methodology, which may not be reflected in index rules until the change effective date. The notices may also communicate revisions in index treatment in the period up to a rule change.