State Street Climate ESG International Equity Fund

Overview Performance Holdings Documents Purchase Information More Insights

NAV

AUD $1.7696

as of 18 Apr 2024

Management Costs

0.24% p.a.

Base Currency

AUD

Fund Size

AUD $386.3 mn

as of 31 Mar 2024

Buy/Sell Spread

0.07%/0.04%

Key Features

Climate Aware – favours companies with lower carbon emissions and higher exposures to green revenues, while avoiding companies with large fossil fuel reserves or significant brown revenues.
ESG Scoring - seeks increased exposure to companies with strong ESG ratings using State Street’s ESG scoring methodology (R-Factor™).
Exclusionary Screening - screens out companies with material involvement in controversial business activities including tobacco, controversial (including nuclear) weapons, thermal coal, alcohol, gambling and adult entertainment¹.
Diversified Investment - provides investors with a cost efficient way of gaining diversified exposure to international stock markets.

Investment Objective

The State Street Climate ESG International Equity Fund (“the Fund”) seeks to achieve capital growth and income in line with the MSCI World ex-Australia Index, subject to delivering climate and ESG objectives.

About this Benchmark

The MSCI World ex-Australia Index ("the Index") represents large- and mid-cap stocks across 22 developed markets countries. The Index is an industry benchmark used by professional investors for global equity portfolios.

Investment Strategy

The Fund allows investors to deploy capital across multiple dimensions of ESG and Climate themes via:

Climate Mitigation - aims to reduce exposure to companies most directly involved in the flow of heat-trapping greenhouse gases into the atmosphere, and increase exposure to the “green” economy.
Climate Adaptation - increases exposure to companies that are better prepared for the possible physical, economic and regulatory impacts of climate change, including GHG-reduction targets and transition plans.
Sustainable & Transparent ESG - increases exposure to companies that score well on financially material global sustainability issues as well as market specific corporate governance codes using State Street’s ESG scoring methodology (R-Factor™).
Screening - excludes a) companies with material business activity involving tobacco, controversial (including nuclear) weapons, thermal coal, gambling, alcohol or adult entertainment. We do not try to screen every company that touches these products or issues in any way; and b) companies that exhibit severe violations of the United Nations corporate sustainability principles or have extreme ESG controversies. We do not try to screen out companies with less significant violations of the United Nations Global Compact or those with less impactful ESG controversies.¹

The Fund uses an optimiser to construct the portfolio which aims to achieve the most efficient trade-off between climate targets, ESG improvement, tracking error and diversification, while seeking long-term returns broadly in line with the Index.

Fund Information as of 19 Apr 2024

Benchmark	MSCI World ex-Australia Index
Inception Date	30 Jun 2016
Management Costs	0.24% p.a.
Buy/Sell Spread	0.07%/0.04%
Minimum Initial Investment	AUD 25,000
Pricing	Daily
Distribution Frequency	Semi-Annually
APIR Code	SST0057AU
ARSN Code	611 640 361
ISIN	AU60SST00571

Fund Pricing as of 18 Apr 2024

NAV	AUD $1.7696
Application	AUD $1.7708
Redemption	AUD $1.7689

Most Recent NAV / NAV History

Fund Characteristics as of 31 Mar 2024

Dividend Yield Dividend Yield is the weighted average dividend yield of the stocks in the portfolio divided by the current market price of the stocks in the portfolio, as expressed as a percentage.	1.77
Price/Book The weighted harmonic average of each security’s price-to-book (P/B) ratio. P/B ratio is calculated by dividing the closing market price by the most recent reported book value for the last twelve months.	3.27
Price/Earnings FY1 The weighted average of each security's price-to-earnings (P/E) ratio (1 year forward). P/E ratio FY1 is calculated by dividing the closing price by the mean EPS estimate for the next unreported fiscal year.	19.34
Price/Cash Flow The weighted harmonic average of each security's price-to-cash-flow (P/CF) ratio. P/CF ratio is calculated by dividing the closing market price by the cash flow per share as of the last fiscal year.	13.85
Return on Equity The weighted average of each security's 5 year return on equity (ROE).	21.55
Number of Holdings	385

Index Characteristics as of 31 Mar 2024

Dividend Yield Dividend Yield is the weighted average dividend yield of the stocks in the index divided by the current market price of the stocks in the index, as expressed as a percentage.	1.77
Price/Book The weighted harmonic average of each security’s price-to-book (P/B) ratio. P/B ratio is calculated by dividing the closing market price by the most recent reported book value for the last twelve months.	3.21
Price/Earnings FY1 The weighted average of each security's price-to-earnings (P/E) ratio (1 year forward). P/E ratio FY1 is calculated by dividing the closing price by the mean EPS estimate for the next unreported fiscal year.	19.38
Price/Cash Flow The weighted harmonic average of each security's price-to-cash-flow (P/CF) ratio. P/CF ratio is calculated by dividing the closing market price by the cash flow per share as of the last fiscal year.	13.09
Return on Equity The weighted average of each security's 5 year return on equity (ROE).	21.05
Number of Holdings	1,407

Fund Performance

Fund Inception Date: 30 Jun 2016

as of 31 Mar 2024

	As Of	1 Month	3 Months	1 Year	3 Years (p.a.)	5 Years (p.a.)	7 Years (p.a.)	Since Inception (p.a.) 30 Jun 2016
Fund (Gross)	31 Mar 2024	2.72%	13.54%	27.77%	13.34%	14.11%	13.87%	13.96%
Fund (Net)	31 Mar 2024	2.70%	13.48%	27.47%	13.07%	13.84%	13.60%	13.69%
Growth	31 Mar 2024	2.70%	13.47%	23.82%	8.08%	7.93%	7.34%	7.96%
Distribution	31 Mar 2024	0.00%	0.00%	3.65%	4.99%	5.90%	6.26%	5.74%
Benchmark MSCI World ex-Australia Index From 29 March 2018 to 29 May 2020, the performance benchmark for the Fund was the MSCI World ex Australia Select ESG Low Carbon Integrated Index. Prior to 28 March 2018 the performance benchmark for the State Street Low Carbon ESG International Equities Index Trust was the MSCI World ex Australia ex Tobacco ex Controversial Weapons Index.	31 Mar 2024	3.02%	14.06%	28.72%	14.43%	14.52%	14.10%	14.15%
Difference (Gross)	31 Mar 2024	-0.30%	-0.51%	-0.94%	-1.09%	-0.41%	-0.23%	-0.19%
Difference (Net)	31 Mar 2024	-0.32%	-0.58%	-1.25%	-1.36%	-0.68%	-0.50%	-0.46%

From 29 March 2018 to 29 May 2020, the performance benchmark for the Fund was the MSCI World ex Australia Select ESG Low Carbon Integrated Index. Prior to 28 March 2018, the performance benchmark for the Fund was the MSCI World ex Australia ex Tobacco ex Controversial Weapons Index. Past performance is not a reliable indicator of future performance. Performance returns for periods of less than one year are not annualised. The Fund return figures contained herein reflect Total Returns and are provided on a net and gross of fees basis. The Total Return is the sum of the Growth (or Price) Return and Distribution Return which is shown net of management fees and costs.

Performance figures are calculated using end-of-month exit prices and assume the reinvestment of distributions and make no allowance for tax. Net performance figures are after management and transaction costs. Gross performance figures are before management costs but after transaction costs. Index returns are unmanaged and do not reflect the deduction of any fees or expenses. The calculation method for the value added returns may show rounding differences.

Source: State Street Global Advisors

Top Holdings as of 31 Mar 2024

Name	Fund
MICROSOFT CORP	4.69%
APPLE INC	4.34%
NVIDIA CORP	3.38%
AMAZON.COM INC	2.68%
TOKYO ELECTRON LTD	2.57%
ALPHABET INC-CL C	1.75%
META PLATFORMS INC-CLASS A	1.73%
CISCO SYSTEMS INC	1.53%
ALPHABET INC-CL A	1.15%
TESLA INC	1.11%

Download All Holdings: Monthly

Sector Allocation as of 31 Mar 2024

Name	Fund	Benchmark
Information Technology	25.75%	24.10%
Financials	16.10%	14.98%
Health Care	12.38%	12.04%
Consumer Discretionary	11.10%	10.82%
Industrials	10.54%	11.34%
Communication Services	8.39%	7.54%
Consumer Staples	5.92%	6.56%
Energy	3.15%	4.45%
Materials	2.48%	3.55%
Real Estate	2.31%	2.19%
Utilities	1.87%	2.45%

Country Allocation as of 31 Mar 2024

Country	Fund	Benchmark
United States	71.03%	72.26%
Japan	7.31%	6.25%
Canada	3.60%	3.12%
United Kingdom	3.57%	3.86%
France	3.35%	3.22%
Germany	2.72%	2.31%
Denmark	1.63%	0.96%
Switzerland	1.53%	2.49%
Netherlands	1.47%	1.35%
Spain	0.74%	0.71%
Other	3.05%	3.47%

Sector reporting based on the Global Industry Classification Standard ("GICS") which was developed by and is the exclusive property and a service mark of MSCI Inc. ("MSCI") and Standard & Poor's, a division of The McGraw-Hill Companies, Inc. ("S&P") and is licensed for use by State Street.

Holdings, sector and country allocations shown are as of the date indicated and are subject to change. This information should not be considered a recommendation to invest in a particular sector or to buy or sell any security shown. It is not known whether the sectors or securities shown will be profitable in the future. The holdings are taken from the accounting records of State Street Global Advisors which may differ from the official books and records of the custodian. Excludes cash, cash equivalents and accruals.

Source: State Street Global Advisors

Documents

¹ The strategy used by the Fund relies on data from numerous external providers. This includes index data, climate data and ESG data. There is a risk that inaccurate or incomplete data from an external provider will cause the Fund to fail to meet its objectives, either by reducing returns, or by exposure to unintended ESG or climate risks.

Equity securities may fluctuate in value in response to the activities of individual companies and general market and economic conditions. Investing in foreign domiciled securities may involve risk of capital loss from unfavourable fluctuation in currency values, withholding taxes, from differences in generally accepted accounting principles or from economic or political instability in other nations. Diversification does not ensure a profit or guarantee against loss. This information should not be used or construed as an offer to sell, a solicitation of an offer to buy, or a recommendation for any security.

The returns on a portfolio of securities which exclude companies that do not meet the portfolio's specified ESG criteria may trail the returns on a portfolio of securities which include such companies. A portfolio's ESG criteria may result in the portfolio investing in industry sectors or securities which underperform the market as a whole.

Responsible-Factor (R-Factor) scoring is designed by State Street to reflect certain ESG characteristics and does not represent investment performance. Results generated out of the scoring model is based on sustainability and corporate governance dimensions of a scored entity.

The MSCI World ex-Australia Index is a trademark of MSCI Inc.