ETF (UCITS compliant)

L&G Optical Technology & Photonics ESG Exclusions UCITS ETF

L&G Optical Technology & Photonics ESG Exclusions UCITS ETF

An investment strategy focused on companies harnessing the science of light to benefit humankind.

View Fund profileView the Q&A on Photonics

Fund facts

Fund size*
$2.0m
Base currency
USD
Listing date
7 Sep 2022
Domicile
Ireland
Index ticker
SOLAZRN
Replication method
Physical - full replication

Statistics

*As at 30 Nov 2022

Fund aim

The L&G Optical Technology & Photonics ESG Exclusions UCITS ETF (the “ETF”) aims to track the performance of the Solactive EPIC Optical Technology & Photonics Index NTR (the “Index”).

  • The L&G Optical Technology & Photonics ESG Exclusions UCITS ETF aims to provide exposure to companies engaged in the global optical technology and photonics value-chain.
  • Does it promote sustainability characteristics? The Fund promotes a range of environmental and social characteristics which are met by tracking the Index. Further information on how such characteristics are met by the Fund can be found in the Fund Supplement.

Solactive EPIC Optical Technology & Photonics Index NTR

The Solactive EPIC Optical Technology & Photonics Index NTR is designed to provide exposure to equity securities of global companies that are actively engaged in the optical technology and photonics value-chain.

Index data

Provider
Solactive
Bloomberg code
SOLAZRN
Reuters code
.SOLAZRN
Type
Net Total Return
Website
www.solactive.com

Performance

Source: Lipper.

Performance (%)
Select period:
Change

    Performance summary (%)

    As at 31 Oct 2022

    CumulativeFund
    1 month6.89
    6 months-
    Year to date-
    3 years-
    5 years-
    Since launch-
    AnnualisedFund
    1 year-
    3 years-
    5 years-
    Since launch-

    As at 30 Sep 2022

    CumulativeFund
    Quarterly-
    Year to date-
    3 years-
    5 years-
    Since launch-
    AnnualisedFund
    1 year-
    3 years-
    5 years-
    Since launch-
    Rolling 12-month performance
    Calendar year performance
    Monthly performance
    Annualised performance

    Rolling 12-month performance to last quarter end (%)

    12 months to 30 September 2018 2019 2020 2021 2022
    Fund-----

    Calendar year performance (%)

    2017 2018 2019 2020 2021
    Fund-----

    Monthly performance (%)

    Annualised performance (%)

    1 year3 years5 yearsSince launch
    Fund----

    Annualised performance (%)

    1 year3 years5 yearsSince launch
    Fund----

    Performance for the USD Accumulating ETF class in USD, listed on 07 September 2022. Source: Lipper. Performance assumes all ETF charges have been taken and that all income generated by the investments, after deduction of tax, remains in the ETF.

    Past performance is not a guide to the future.

    Sector (%)

    Currency (%)

    Top 10 constituents (%)

    Country (%)

    Investment Manager

    The Index Fund Management team comprises 25 fund managers, supported by two analysts. Management oversight is provided by the Global Head of Index Funds. The team has average industry experience of 15 years, of which seven years has been at LGIM, and is focused on achieving the equally important objectives of close tracking and maximising returns.

    LGIMIndex Fund Management Team

    Sustainability

    Sustainability disclosures

    The Sustainable Finance Disclosure Regulation (SFDR) is an EU regulation that came into force on 10 March 2021, and imposes disclosure requirements for EU financial products. These requirements include disclosing sustainability-related information for funds that (i) promote (among other characteristics) environmental or social characteristics (Article 8 products), or (ii) have a sustainable investment objective (Article 9 products), both as defined under SFDR.

    SFDR categorisation: Article 8Article 8: These funds promote environmental and/or social characteristics

    The EU Taxonomy Regulation (EU Taxonomy) sets out a classification system in respect of environmentally sustainable economic activities. EU Taxonomy covers six environmental objectives, ranging from climate change mitigation to protection and restoration of biodiversity, with technical screening criteria to determine whether certain economic activities supports these objectives. EU Taxonomy recognises these economic activities as green, or “environmentally sustainable” if they make a substantial contribution to at least one of the environmental objectives, while at the same time not significantly harming any of these objectives and meeting minimum social safeguards. EU Taxonomy came into force on 1 January 2022 for the first two, climate-related, environmental objectives. EU Taxonomy also amends the disclosure obligations under SFDR to extend the information to be disclosed for Article 9 products and Article 8 products with an environmental focus. You will find the relevant disclosures under the ‘Pre-contractual disclosure’ tab.

    Decarbonisation
    Net zero framework
    Stock selection
    Carbon intensity
    Future World Protection List
    Climate Impact Pledge
    Exclusions

    The Solactive EPIC Optical Technology and Photonics Index NTR seeks to exclude companies which are constituents of the “ESG Exclusions Enhanced Index”, including, but not limited to, companies which:

    • are non-compliant with the UN Global Compact Principles;
    • have any direct involvement, or indirect involvement through corporate ownership, in controversial weapons;
    • are involved in military contracting weapons or related products;
    • are involved in the production or retail of tobacco, or otherwise are a related product/service, and/or;
    • are involved in the generation, production or increase the capacity of conventional oil and gas, or otherwise involved in supporting products/services;
    • are determined to have been involved in severe controversies (i.e., companies that have been involved in events that have a severe impact on the environment and society, posing serious business risks to the company);
    • The ESG Exclusions Enhanced Index is monitored on an on-going basis and updated regularly by the index provider.
    • Such exclusions and the definition of “involvement” are determined by reference to the “ESG Exclusions Enhanced Index" which is found at: https://solactive.com/downloads/Guideline-Solactive-ESG-Exclusions-Enhanced-Index.pdf.
    Tilting
    Paris-aligned benchmark optimisation
    ESG integration
    UN SDG alignment

    The Index Provider, Solactive AG, determines the constituents of the Index. The Index Provider uses external data sources.

    Further information on the Index methodology can be found on the Solactive AG. website at: https://www.solactive.com/indices/?se=1&index=DE000SL0BRN9

    The above information in respect of the Index has been produced from methodologies, statements and disclosures of the index provider for purposes of satisfying the regulatory requirements under SFDR. The information is, therefore, not the property of LGIM and is provided “as is” and “as available”. LGIM seek to ensure the information in respect of the Index is up to date, however there is no guarantee or representations made as to the accuracy or completeness of the information at all times. On that basis, and to the maximum extent permitted by law, no liability is accepted by us in respect of this information.

    A description of the extent to which the environmental and social characteristics are met will likely be made available as part of the annual report published in 2022 as required by SFDR. The Fund’s most recent annual report does not include any information pursuant to SFDR.

    Pre-contractual disclosure

    SFDR Disclosure

    The Fund promotes a range of environmental and social characteristics. The characteristics promoted by the Fund are met by tracking an Index which excludes companies which are components of the “ESG Exclusions Enhanced Index”. The Index is consistent with the environmental characteristics as it excludes such companies as set out in the “Index Description” section below.

    The Manager aims to ensure that the issuers of investments in which the Fund is invested follow good governance practices. This is achieved by 1) setting expectations with the issuers' management with regard to good governance practices; 2) active engagement with the issuers; 3) utilising its voting rights; and 4) supporting policymakers and legislators to ensure a strong regulatory environment and standards. Active engagement with the issuers is used as a tool to drive progress and influence positive change and is conducted independently and in collaboration with industry peers and broader stakeholders. Engagement activities normally focus on specific material ESG issues and involve formulating an engagement strategy with regard to such issues with the aim to track and review the progress of the issuers during this process. Regular reporting on the outcomes of active engagement can be made available on request or can be found at: www.lgim.com.

    EU Taxonomy Disclosure

    While the Fund promotes environmental and social characteristics within the meaning of Article 8 of the SFDR, it does not currently commit to investing in “sustainable investments” within the meaning of the SFDR.  Accordingly, it should be noted that the investments underlying this Fund do not take into account the EU criteria for environmentally sustainable economic activities within the meaning of the Regulation (EU) 2020/852 (the “Taxonomy Regulation") and, as such, the Fund’s portfolio alignment with the Taxonomy Regulation is not calculated. It follows that the Fund does not currently commit to investing more than 0% of its assets in economic activities that quality as environmentally sustainable under the Taxonomy Regulation.

    The “do no significant harm” principle applies only to those investments underlying the Fund that take into account the EU criteria for environmentally sustainable economic activities. The investments underlying the remaining portion of the Fund do not take into account the EU criteria for environmentally sustainable economic activities.”

    Governance practices

    The ways in which we ensure that investee companies follow good governance practices are set out below.

    Setting expectations

    A number of policies and processes guide the engagement activities, set out the approach to investment stewardship, and outline the expectations of investee companies. The Global Corporate Governance and Responsible Investment Principles set out the approach and expectations with respect to key topics that are essential for an efficient governance framework, and for building a sustainable business model. We expect all companies on a global scale to closely align with our principles which set out the fundamentals of corporate governance. We also take into account market specificities and take a tailored approach to voting on some topics in various markets. Further related policies can be found on the Investment Stewardship section of the LGIM website.

    Active engagement

    Active engagement with the companies is used as a tool to drive progress and influence positive change and is conducted independently and in collaboration with industry peers and broader stakeholders. Engagement activities normally focus on specific material ESG issues and involve formulating an engagement strategy with regard to such issues with the aim to track and review the progress of the issuers during this process.

    Voting

    LGIM apply a common global strategy with respect to the use of voting rights, and setting expectations of investee companies with regards to planning, management and disclosure of sustainability issues. These principles impact on voting decisions, and for certain themes such as climate, gender and racial diversity there are structured voting and engagement processes in place.

    Supporting policymakers and legislators

    LGIM's Investment Stewardship team actively engages with policy makers and legislators to ensure there is strong regulation and standards in regards to governance practices.

    Literature

    Fact sheets

    2022Change date
    Fact sheet
    Choose share class

    Prices

    Name
    USD Acc
    Currency
    USD
    NAV
    9.86
    Price time
    16:00 EST (NY)

    Further details

    Charges and tax

    TER
    0.49%
    ISA eligible
    Yes
    SIPP eligible
    Yes
    UK Fund Reporting Status
    Yes

    Management / administration

    Issuer
    Legal & General UCITS ETF Plc
    Depositary and Trustee
    The Bank of New York Mellon SA/NV, Dublin Branch
    Securities regulator
    Central Bank of Ireland

    Country registration

    This share class is registered for sale in the following countries:

    Listings

    Details
    Codes
    ExchangeCurrencyTickerListing dateISINBloomberg codeReuters codeTrading hours (local)
    London Stock ExchangeGBPLAZG07/09/2022IE000QNJAOX1LAZG LNLAZG.L08:00 - 16:30
    London Stock ExchangeUSDLAZR07/09/2022IE000QNJAOX1LAZR LNLAZR.L08:00 - 16:30
    Borsa ItalianaEURLAZR07/09/2022IE000QNJAOX1LAZR IMLAZR.MI09:00 - 17:30
    Deutsche Börse XetraEURLADR07/09/2022IE000QNJAOX1LADR GYLADRG.DE09:00 - 17:30
    SIX Swiss ExchangeCHFLAZR07/09/2022IE000QNJAOX1LAZR SWLAZR.S09:00 - 17:30

    Key risks

    The value of an investment and any income taken from it is not guaranteed and can go down as well as up. You may not get back the amount you originally invested.

    Past performance is not a guide to the future.

    The ETF is subject to the risks associated with technology-focused companies that are particularly vulnerable to rapid developments in technology (which may leave their products out-of-date), government regulation and competition from domestic and foreign competitors who may have lower production costs. Such companies may also have difficulties establishing and maintaining patents, copyrights, trademarks and trade secrets relating to their products which could negatively affect their value.

    For more information, please refer to the key investor information document.

    Important information

    In the United Kingdom and outside the European Economic Area, it is issued by Legal & General Investment Management Limited, authorised and regulated by the Financial Conduct Authority, No. 119272. Registered in England and Wales No. 02091894 with registered office at One Coleman Street, London, EC2R 5AA.

    In the European Economic Area, it is issued by LGIM Managers (Europe) Limited, authorised by the Central Bank of Ireland as a UCITS management company (pursuant to European Communities (Undertakings for Collective Investment in Transferable Securities) Regulations, 2011 (S.I. No. 352 of 2011), as amended) and as an alternative investment fund manager with “top up” permissions which enable the firm to carry out certain additional MiFID investment services (pursuant to the European Union (Alternative Investment Fund Managers) Regulations 2013 (S.I. No. 257 of 2013), as amended). Registered in Ireland with the Companies Registration Office (No. 609677). Registered Office: 70 Sir John Rogerson’s Quay, Dublin, 2, Ireland. Regulated by the Central Bank of Ireland (No. C173733).

    LGIM Managers (Europe) Limited operates a branch network in the European Economic Area, which is subject to supervision by the Central Bank of Ireland. In Italy, the branch office of LGIM Managers (Europe) Limited is subject to limited supervision by the Commissione Nazionale per le società e la Borsa (“CONSOB”) and is registered with Banca d’Italia (no. 23978.0) with registered office at Via Uberto Visconti di Modrone, 15, 20122 Milan, (Companies’ Register no. MI - 2557936). In Germany, the branch office of LGIM Managers (Europe) Limited is subject to limited supervision by the German Federal Financial Supervisory Authority (“BaFin”). In the Netherlands, the branch office of LGIM Managers (Europe) Limited is subject to limited supervision by the Dutch Authority for the Financial Markets (“AFM“) and it is included in the register held by the AFM and registered with the trade register of the Chamber of Commerce under number 74481231. Details about the full extent of our relevant authorisations and permissions are available from us upon request.

    We are a member of the Irish Funds Association.

    All features described on this website are those current at the time of publication and may be changed in the future. Nothing on this website should be construed as advice and it is therefore not a recommendation to buy or sell securities. If in doubt about the suitability of this product, you should seek professional advice. Copies of the prospectus, key investor information document, annual and semi-annual reports & accounts are available free of charge on request or at www.lgimetf.com.

    This website is only directed at investors resident in jurisdictions where our funds are registered for sale. It is not an offer or invitation to persons outside of those jurisdictions. We reserve the right to reject any applications from outside of such jurisdictions.

    Source and third party data

    Source: Unless otherwise indicated all data contained on this website is sourced from Legal & General Investment Management Limited.

    Where this document contains third party data ('Third Party Data’), we cannot guarantee the accuracy, completeness or reliability of such Third Party Data and accept no responsibility or liability whatsoever in respect of such Third Party Data

    Index disclaimer

    The ETF is not sponsored, promoted, sold or supported by Solactive AG. Nor does Solactive AG offer any express or implicit guarantee or assurance either with regard to the results of using the Index and/or Index trade mark or the Index price, at any time or in any other respect.

    The Index is calculated and published by Solactive AG. Solactive AG uses its best efforts to ensure that the Index is calculated correctly. Irrespective of its obligations towards the Company, Solactive AG has no obligation to point out errors in the Index to third parties including, but not limited to, investors and/or financial intermediaries of the ETF. Solactive AG does not guarantee the accuracy and/or the completeness of the Index or any related data, and shall not have any liability for any errors, omissions or interruptions therein.

    Neither publication of the Index by Solactive AG, nor the licensing of the Index or Index trade mark, for the purpose of use in connection with the ETF, constitutes a recommendation by Solactive AG to invest capital in said ETF nor does it, in any way, represent an assurance or opinion of Solactive AG with regard to any investment in this ETF. In no event shall Solactive AG have any liability for any lost profits or indirect, punitive, special or consequential damages or losses, even if notified of the possibility thereof.