Are the constituents of the Index “socially responsible” companies?
The KLD Select Social Index is created using an innovative screening methodology that weights holdings based the social and environmental scores assigned by KLD within the constraint of a 2% tracking error relative to the FTSE All World USA. As a result, the Index is for investors who want more exposure to social and environmental factors than a screened, cap-weighted index affords and who want explicit limits on the risk they take to get this exposure. It is not intended for investors for whom owing certain companies is anathema.
