ESG Revenue-Weighted Strategy ETFs
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June 28, 2017
An ESG revenue weighted strategy that employs Sustainalytics’ ESG scores as well as a revenue-weighted methodology to invest in stocks in the S&P 500® Index.
The Oppenheimer ESG Revenue ETF℠ is composed of stocks in S&P 500® Index, that rank in the top 50th percentile of Environmental, Social, and Corporate Governance (“ESG”) scores. Each security is weighted by top line revenue, instead of market capitalization, and the portfolio is re-balanced quarterly.
The strategy seeks to outperform the S&P 500® Index through a portfolio of revenue-weighted U.S. large cap names with favorable ESG practices, based on Sustainalytics’ proprietary ESG scores and the OFI Revenue Weighted Strategy team’s proprietary revenue-weighting methodology. We believe this approach is a durable value proposition as it aims to provide investors with exposure to large cap U.S. companies with strong ESG practices.
The Oppenheimer ESG Revenue ETF℠ employs a three-step process to determine what stocks will be included in the portfolio and their individual portfolio weights.
Vince Lowry is the Lead Portfolio Manager for the Revenue Weighted Strategy Team. He was the founder and architect behind the creation of RevenueShares ETFs, acquired by OppenheimerFunds in 2015. Vince served as RevenueShares CEO & Chairman. Prior to starting RevenueShares he was a Managing Director at Smith Barney, a division of Citigroup Global Markets Inc. His early career began in the Philadelphia Police Department as a Detective Sergeant.
Justin serves as a portfolio manager and Vice President, Director of Research for the Oppenheimer Revenue Weighted Strategy Team. This includes the creation and development of new products, research for the development of economic white papers, creation of performance/risk measurement reports, asset attribution analysis, asset allocation analysis, and style analysis for distribution by the sales force.
Sean is a portfolio manager for the Oppenheimer Revenue Weighted Strategy Team. He is responsible for all trading, as well as the cash and tax management for the Funds. Sean also works closely with the product research team to develop new strategies. Sean joined VTL Associates in June 2009, and has been instrumental in the launches of more than ten ETFs across several asset classes.