FTSE Global Choice Index Series

The FTSE Global Choice Index Series is designed to help investors align their portfolios with their individual values by de-selecting companies based on their conduct or products in specific sectors. Exclusion categories include weapons, non-renewable energy, controversies and lack of diversity.

The FTSE Global Choice Index Series is a market cap-weighted series with a rules-based methodology for defining how to exclude companies based on their involvement in specific products and conduct with (potential) negative impacts on society and the environment. The underlying framework includes large, mid, and small securities across developed and emerging markets globally, with modular indexes available to target specific country markets. The result is a framework for applying robust and customizable values-based screens to a range of broad market indexes.

The Index Series can include negative screens in three product categories and two conduct categories. Individual indexes within the series may only apply a subset of the screening categories.

The product-related screening category covers:

  • • Non-Renewable Energy (Fossil Fuel and Nuclear Power)
  • • Vice Products (Adult Entertainment, Alcohol, Gambling and Tobacco)
  • • Weapons (Chemical & Biological Weapons, Cluster Munitions, Anti-Personnel Landmines, Nuclear Weapons, Conventional Military Weapons and Civilian Firearms)

The conduct-related screening category covers:

  • • Controversies (based on the UN Global Compact Principles)
  • • Diversity practices

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.