Franklin Templeton launches EMs climate ETF

Tracks index covering large- and mid-cap stocks across 24 emerging regions

Franklin Templeton has added an emerging markets product to its Paris-aligned ETF range.

The Franklin MSCI Emerging Markets Paris Aligned Climate UCITS ETF will track the MSCI Emerging Markets Climate Paris Aligned Index covering large- and mid-cap stocks across 24 emerging regions that are transitioning to a low carbon economy.

It is the fourth product in the range joining China, Europe and US funds. It is managed by Dina Ting (pictured), head of global index portfolio management, and Lorenzo Crosato, ETF portfolio manager.

Caroline Baron, head of ETF distribution, EMEA, at Franklin Templeton, commented:“This ETF reduces climate risk exposure by investing in companies providing solutions to mitigate climate change as well as those improving their resilience to its consequences, giving them a long-term competitive advantage.

“With global temperatures on the rise and massive investment needed to reduce carbon emissions amid today’s rising energy needs, emerging markets play an important role in achieving net zero.”  

The fund will be registered in Austria, Denmark, Finland, France, Germany, Ireland, Italy, Spain, Sweden and the UK, and listed on Deutsche Börse Xetra on 10 March and Borsa Italiana and London Stock Exchange on 14 March. The total expense ratio (TER) is 0.18%.

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Natalie Kenway

Natalie is editor in chief at MA Financial covering ESG Clarity, Portfolio Adviser and International Adviser. She was previously global head of ESG insight for ESG Clarity and has been an investment journalist...