State Street Global Advisors (SSGA) has cross-listed the SPDR STOXX Europe 600 ESG Screened UCITS ETF on SIX Swiss Exchange.

The fund is the first ESG ETF based on the STOXX Europe 600 index universe.

The fund, which launched in October, provides broad exposure to European developed market equities while incorporating consideration of environmental, social, and governance (ESG) factors.

It is the first ESG ETF based on the STOXX Europe 600 universe of large, mid, and small-cap companies from 17 European developed market countries.

The underlying STOXX Europe 600 ESG-X Index harnesses insights from ESG analytics firm Sustainalytics to screen the parent universe to exclude companies with poor ESG credentials.

The index construction process first excludes firms deriving any revenue from controversial weapons or tobacco as well as companies that derive more than 25% of their revenue from thermal coal extraction or power generation related to thermal coal.

Companies that Sustainalytics considers to be non-compliant with the UN’s Global Compact Principles – a set of core values in the areas of human rights, labour standards, the environment, and anti-corruption – are also excluded.

The remaining constituents are then weighted by free-float-adjusted market capitalization subject to an individual security cap of 20%.

Reconstitution and rebalancing occur quarterly, although the index also contains a ‘fast exit’ feature that enables it to react quickly to breaking ESG controversies by removing non-compliant constituents within two days.

According to SSGA, the index shows a risk-return profile similar to the broad European equity market while offering investors a solution that is aligned with responsible investment policies.

The ETF comes with an expense ratio of 0.12%.

The new listing trades in euros on SIX Swiss Exchange under the ticker 600X SW. Income is capitalized within the portfolio.

The fund is also listed on Xetra (ZPDX GY), Borsa Italiana (600X IM), and Euronext Amsterdam (600X NA) in euros.