State Street to Start ETF Tracking Companies With Female Leadersby
Asset managers are expanding U.S. investments with social aims
Firm introduced SPDR S&P 500 Fossil Fuel Free ETF last year
State Street Corp.’s asset-management arm is starting an exchange-traded fund that will track U.S. companies with female leaders.
The SPDR SSGA Gender Diversity Index ETF will begin trading on Tuesday under the ticker symbol SHE. The fund will follow a new, proprietary index made up of large U.S. companies with relatively high representation of women in management and the board of directors, according to a regulatory filing on Friday.
State Street is among a number of asset managers and Wall Street firms creating offerings to invest in companies that seek to do social and environment good as well as make money. The Boston-based company in December started the SPDR S&P 500 Fossil Fuel Free ETF in response to investor concerns about climate change. BlackRock Inc., the world’s biggest money manager, last year rolled out its first impact-labeled U.S. mutual fund, targeting idealistic millennials.
SHE’s index was made up of 141 stocks, with a significant portion in the financial, health care and industrial sectors, as of Feb. 29, according to the State Street filing.
State Street will direct a portion of its revenue from the ETF to a new Donor Advised Fund that will support organizations helping girls to become business leaders in fields with little female representation, such as science, technology, engineering and math, the company said in an e-mail.