• | Companies that meet any of the following Business Involvement Exclusions, based on revenue levels as determined by S&P Global, Inc. (an affiliate of the Index Provider (defined below)): |
• | Companies that derive any amount of revenue from manufacturing tobacco products, 5% or greater of their revenue from supplying products and services essential for the tobacco industry, or 5% or greater of their revenue from the distribution and/or retail sale of tobacco products; |
• | “Controversial Weapons Companies,” defined as companies that derive any amount of revenue from (i) manufacturing components intended solely for use in the production of and are essential for the functioning of anti-personnel mines, biological and chemical weapons, blinding laser weapons, cluster munitions, depleted uranium, incendiary weapons and nuclear weapons (collectively, “Controversial Weapons”), or (ii) products and/or services related to the sale, supply and transfer of Controversial Weapons; |
• | Companies that derive 5% or greater of their revenue from the extraction and/or production of fossil fuels from oil/tar sands; |
• | Companies that (i) derive any amount of revenue from the manufacturing of small arms weapons for civilian or non‑civilian use, or key components of assault weapons; or (ii) derive 5% or greater of their revenue from the retail or distribution of small arms weapons for civilian customers; |
• | Companies that derive 10% or greater of their revenue from (i) manufacturing, assembling, selling and transporting weapons, equipment, structures, and vehicles, or providing vehicle and equipment maintenance services and logistics and operations support, specifically for the purposes of warfare, or (ii) manufacturing and selling military weapon-related products; or |
• | Companies that derive 5% or greater of their revenue from (i) owning and/or operating coal mines that engage in thermal coal mining or (ii) electricity generation using coal powered plants. |
• | Companies that hold 25% or greater ownership stakes (as determined by S&P Global, Inc.) in: |
• | Companies that derive any amount of revenue from manufacturing tobacco products; |
• | Controversial Weapons Companies; or |
• | Companies that derive any amount of revenue from the manufacturing of small arms weapons for civilian and non‑civilian use, or key components of assault weapons. |
• | Companies that are classified by Sustainalytics to be non‑compliant with the United Nations Global Compact (“UNGC”) principles (“Non‑Compliant UNGC Companies”). Non‑Compliant UNGC Companies are (i) companies found to have been responsible for egregious and severe violations of commonly accepted international norms related to human rights, labor rights, the environment and business ethics, or (ii) companies deemed to facilitate third parties in human rights violations due to their involvement in certain weapons with disproportional and/or non‑discriminatory impact on citizens and society; |
• | Companies that have an S&P Global ESG Score that falls within the worst 25% of scores from each Global Industry Classification Standard (GICS) industry group in the underlying universe of companies eligible for inclusion in the Index (the “Investment Universe”); or |
• | Companies that do not have (i) coverage for determining tobacco-, controversial weapons-, oil sands-, small arms-, military weapons- and thermal coal-related involvement or compliance with UNGC principles; or (ii) an S&P Global ESG Score. |