 NuShares
ESG Small-Cap ETF (NUSC) is an exchange-traded fund that seeks to
provide investment results that correspond generally to the price and
yield performance, before fees and expenses, of the TIAA ESG USA
Small-Cap Index. The index is designed to measure the performance of
U.S. small-cap companies with superior environmental, social, and
governance (ESG) ratings relative to their sector peers.
The
fund invests at least 80% of its net assets in the component
securities of the index and in depositary receipts representing
securities of the index. The TIAA ESG USA Small-Cap Index is a
float-adjusted, market capitalization-weighted index, consisting of
companies with market capitalizations generally between $300 million
and $2.5 billion.
The ETF provides exposure to U.S. small-cap
stocks that meet certain ESG criteria, such as companies that have low
carbon emissions, high board diversity, and strong labor practices. It
aims to provide investors with a way to align their investments with
their values while also diversifying their portfolio.
NUSC has
an expense ratio of 0.35%, which is relatively low compared to other
ESG-focused ETFs. As of March 23, 2023, the fund has total net assets
of approximately $1.1 billion and holds 861 stocks. The top three
sectors represented in the fund are information technology, health
care, and consumer discretionary.
Investing in NUSC may be
appropriate for investors seeking exposure to small-cap U.S. companies
with strong ESG ratings. However, as with any investment, it is
important to consider one's own investment goals, risk tolerance, and
financial situation before investing. It is also important to note
that while the fund's ESG criteria may align with some investors'
values, it does not guarantee that the companies in the fund are
completely free from controversy or risk.
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