The FTSE Asia ex Japan ESG Index is designed to align investment and ESG objectives into a broad benchmark, whilst maintaining industry neutrality. Company weights within the Index are “tilted” using FTSE Russell’s ESG Ratings and subsequently, industry neutral re-weighting is applied so that the industry weights in the Index match the underlying index universe. As a result, the FTSE Asia ex Japan Index has risk/return characteristics similar to the underlying universe with the added benefit of improved ESG metrics.
The index is derived from the FTSE Global Equity Index Series (GEIS), which covers 99% of the world’s investable market capitalisation.
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.