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Explore our sustainable fund range

At BlackRock we have designed a sustainable platform offering both index and single and multi-theme strategies across all asset classes.1

Capital at risk. All financial investments involve an element of risk. Therefore, the value of the investment and the income from it will vary and the initial investment amount cannot be guaranteed.

 


 

Find the product that aligns with your portfolio’s sustainable goals

BlackRock’s Sustainable Investing framework lets you navigate to sustainable funds that meet your sustainable goals. This framework is available on our websites, where you can also filter funds by other sustainable characteristics, such as Sustainable Finance Disclosure Regulation (SFDR) classifications and Implied Temperature Rise (ITR) bands.

You can seek sustainable alpha opportunities

At BlackRock, We believe in the opportunity sustainable investing offers for alpha generation along with participation in engagement and impact investing.2

We also offer quality, clarity and choice with indexing

The comprehensive range of iShares sustainable equity and fixed income ETFs are managed by global teams of over 130 portfolio managers using Aladdin™, our risk management platform, and supported by BlackRock’s sustainability experts.3

Risk. The environmental, social and governance (“ESG”) considerations discussed herein may affect an investment team’s decision to invest in certain companies or industries from time to time. Results may differ from portfolios that do not apply similar ESG considerations to their investment process.

Risk: While proprietary technology platforms may help manage risk, risk cannot be eliminated.

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Our Screened approach

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BlackRock’s range of Screened funds cover a comprehensive spectrum of exposures and outcomes across active and index investing.

Our Screened approach lets you exclude controversial activities and companies that benefit from them, as defined by BlackRock’s baseline screens.

Our baseline screens include:

• Controversial weapons
• Thermal coal
• Tar sands
• Civilian firearms
• Tobacco
• Nuclear weapons
• United Nations Global Compact (UNGC) violators

Further screens may be applied depending on the investment strategy of the fund.

You can explore our product ranges below or view all Screened funds.

Screened active investing

We have a rapidly expanding range of sustainable Screened active funds across all asset classes, enabling investors to choose an approach that aligns to their specific goals.

Through a set of baseline screens, we ensure consistency in our approach to exclusionary screening, consider the materiality of ESG risks, and continue to assist clients who wish to eliminate specific exposures to sectors or activities.

Our Screened approach excludes controversial activities and companies that benefit from them. The baseline screens are applied to all funds that sit within the Screened category of our sustainable investing framework. We also apply the screens to new active fund launches, where the exclusions do not interfere with the fund’s investment strategy. Further screens may be applied on a tactical basis.

Screened index investing

Our Screened index funds let you exclude certain business activities that pose risks or don’t match investor preferences. Screened funds are designed for investors looking to screen out controversial business areas while maintaining a profile similar to traditional benchmarks.

Brief overview

• Low tracking error compared to parent index

• Index maintains more than 90% of parent index holdings

Exposures include:

World, Europe, USA, Emerging Markets, EMU, Japan

Our ESG Broad approach

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The ESG Broad approach supports investments with an explicit ESG objective. This may include a targeted quantifiable ESG outcome. This covers several active and index product ranges including: ESG Enhanced, SRI, Factors + ESG, Fixed Income and ESG Multi-Asset Portfolios. You can explore our product ranges below or view all ESG Broad funds.

ESG Broad active investing

Our ESG Broad active approach focuses on evaluating companies based on their E, S and G business practices to identify risks and opportunities.

Some examples of potential ESG outcomes include:

• Issuers in the top percent of ESG scores;

• Percentage of portfolio revenues aligned with the UN Sustainable Development Goals across E S and G issues; and

• Targeted E S and G metrics and outcomes at the issuer level

ESG Broad index investing

Our ESG Broad ETFs pursue an explicit ESG objective. This may include a targeted, quantifiable ESG outcome. This approach covers several iShares product ranges including: ESG Enhanced, SRI, Factors + ESG, ESG Fixed Income and ESG Multi-Asset Portfolios.

ESG enhanced, ESG fixed income, SRI, Factors + ESG, ESG Multi-Asset Portfolios, ESG Leaders

Our ESG Thematic approach

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Thematic investing is an approach that focuses on predicted long-term trends rather than specific companies or sectors, enabling investors to access structural shifts that can change an entire industry.

Our ESG Thematic approach to sustainable investing focuses on a particular E S or G theme.

You can explore our product ranges below or view all ESG Thematic funds.

ESG Thematic active investing

Our ESG Thematic active strategies capitalise on long-term transformative industry or societal trends through the pursuit of specific ESG themes. Thematic strategies target outcomes in E, S, or G:

Climate transition, Future of transport, Circular economy, Diversity and inclusion, Nutrition

ESG Thematic index investing

Our ESG Thematic ETFs and index funds pursue a specific Environmental, Social, or Governance theme:

Smart cities, Global clean energy, Diversity and inclusion, Paris-aligned, Government climate bonds, Development bank bonds

Our Impact approach

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Our Impact approach supports investments that seek to generate measurable and tangible sustainable impact outcomes alongside a financial return.

You can explore our product ranges below or view all Impact Funds.

Impact active investing

Our Impact active suite features strategies where investments are made with the intention to generate positive, measurable environmental and social impact alongside a positive financial return. The specific allocations may be considered within the parameters of the UN Sustainable Development Goals.

Our impact offering provides investors with regular, tangible, and dedicated reporting on progress towards the invested outcomes. An example of this is the Global Impact Fund Annual Impact Report.

Some examples of investor contribution include:

• Capital directly invested in green bonds

• Strategic engagement leading to portfolio companies’ increased impact

• Investment strategy not only aligns with the Sustainable Development Goals (SDGs) but also advances the SDGs.

Impact index investing

Our Impact ETFs and index funds seek to generate a measurable sustainable outcome, alongside a financial return.

Green bonds

Unlike with other instruments, green bond investors can afford higher levels of transparency via impact reporting. All green bonds must follow the Green Bond Principles to be index eligible and as such, report the environmental metrics of the projects funded by their proceeds on an annual basis.

BlackRock is the first asset manager to offer portfolio level impact reporting for a co-mingled green bond product (iShares Green Bond Index Fund (IE)), helping investors to track and understand the true impact of an investment.

Source:

1 Source: BlackRock, 31st  August 2022. Sustainable strategies refer to ESG Broad, ESG Thematic, Impact strategies, and selected priority screened products as approved through BlackRock’s sustainable governance processes.
2 Source: BlackRock, 31 December 2021.
3 Source: BlackRock Sustainable Investing, 31 December 2021.