Industry Updates

HANetf India tech ETF drops ESG and removes fossil fuel exclusions

ESG will be removed from the name of the ETF but it will still apply an ESG approach

Lauren Gibbons

India arch on beach

White-label ETF issuer HANetf is set to remove fossil fuels exclusions from the ESG screening criteria of its India internet and eCommerce ESG ETF to align it with its existing article Article 8 ETFs.

The INQQ India Internet & Ecommerce ESG-S UCITS ETF (INQQ) will remove the ESG filter that excludes companies that derive their revenues from fossil fuels such as coal, oil or natural gas.

It also said the ESG screening criteria will be expanded to companies that derive a “specified portion” of their revenues from thermal coal.

As a result of the changes, INQQ will see its name changed to the INQQ India Internet UCITS ETF.

A spokesperson from HANetf said the changes have been proposed to bring the type of ESG screen INQQ uses in line with its other ESG-screened Article 8 ETFs.

The ESG screen should not have any impact on holdings, HANetf added.

The changes are subject to the approval of the Central Bank of Ireland.

HANetf said the name change is to bring the name in line with the name for the 40 Act ETF listed in the US.

Elsewhere, EMQQ Emerging Markets Internet & Ecommerce UCITS ETF (EMQQ) will see thermal coal exclusion metrics, as well as the inclusion of new country weightings limits, such as China to 45% and South Korea to 10%.

The changes have been proposed for diversification benefits.

Elsewhere, HANetf launched two global equity ETFs targeting growth and quality in May.

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