BlackRock has launched Europe’s first range of tradable multi-asset ESG portfolios built with exchange traded funds (ETFs). The BlackRock ESG Multi-Asset ETFs are designed to be a simple, diversified and sustainable way to invest. Each of the three funds are made up of iShares ETFs to provide access to a wide universe of stocks and bonds. The funds are constructed according to three predefined risk profiles – Conservative (80 per cent bonds, 20 per cent stocks), Moderate (49 per cent bonds, 51 per cent stocks), and Growth (25 per cent bonds, 75 per cent stocks) – with the aim of delivering a total return.
The funds will be managed by BlackRock’s multi-asset team. Rafael Iborra and John Wang, who manage over USD5 billion of assets in Europe, will co-manage the funds.
The new portfolios are the latest addition to BlackRock’s line-up of ESG funds and have a higher environmental, social and governance (ESG) score relative to those built using traditional exposures. Investors are increasingly looking to embed ESG considerations in pursuit of a positive impact on reducing carbon emissions, to build more resilience and potentially manage volatility in their portfolios.
Joe Parkin, Head of Banks and Digital Channels in the UK at BlackRock, says: “There has never been a more important time for people to take control of their financial well-being. This choice of three ready-built portfolios has been designed to help more people invest money towards their long-term financial goals with ease, while benefitting from investment expertise across BlackRock. We are doubling down on the characteristics that we know attract people to ETFs, to achieve broad exposure to the markets in an ESG and risk conscious way.”
The new products are all priced at 0.25 per cent OCF (ongoing charges figure) and are available through both fund platforms and advisers.