Franklin MSCI World Catholic Principles UCITS ETF
| Issuer: Franklin Templeton |
| Asset Class: Equity |
| TER: 27bps |
| Trading Currency: USD |
| Pays Income: False |
| Listing Date: 26 Apr 2024 |
| Ticker: FIDE |
| ISIN: IE000AZOUN82 |
This fund is designed for investors seeking to align their investment strategy with the moral and social teachings of the Catholic Church while achieving broad exposure to global developed equity markets. It tracks the MSCI World Select Catholic Principles ESG Universal and Low Carbon Screened Index, which provides a comprehensive and rules-based methodology. The index screening process is rigorous, excluding companies involved in activities that conflict with Catholic values, such as the production of controversial weapons, involvement in abortion and contraception, animal testing, and stem cell research. This ensures the portfolio adheres to specific ethical guidelines, offering a values-based investment solution.
By physically replicating its benchmark, the fund holds the underlying securities directly, providing transparency into its holdings. The portfolio is composed of large and mid-capitalisation stocks from across 23 developed market countries, offering significant diversification. Beyond the faith-based screens, the underlying index also incorporates Environmental, Social, and Governance (ESG) criteria and a low-carbon screen, further enhancing its appeal for socially conscious investors. As an accumulating vehicle, any dividends paid by the constituent companies are automatically reinvested back into the fund, fostering the potential for long-term capital compounding.
This investment is particularly suitable as a core holding for individuals, religious organisations, and institutions that wish to invest in a manner consistent with Catholic principles. It provides a straightforward and cost-effective way to access a globally diversified portfolio that has been carefully vetted for compliance with specific ethical standards. It serves those who do not want to compromise their values for financial returns, offering a dual objective of financial performance and ethical alignment within a single investment product.
