Press Release
CFRA Launches New Suite of ESG-Focused Model Portfolios
31 March 2021
New offerings join robust lineup of model portfolios from global leader in equity and ETF research; focus on climate exposure, gender diversity in corporate leadership, ESG ETFs
NEW YORK, March 31, 2021 – CFRA, one of the world’s largest providers of independent investment research, today announced the launch of five new ESG-focused model portfolios.
These new model portfolios join an existing CFRA model set that already includes 15 equity and ETF model portfolios with live track records ranging from 10 to 24 years, many of which have significantly outperformed the market over both the short- and long-term. CFRA’s research is grounded in financial, forensic accounting and valuation analysis that focuses on forward-looking issues relative to market expectations. With these new models, CFRA is applying that same lens to equities and ETFs from an ESG perspective, and is launching the following:
• The U.S. Climate Change Friendly Model Portfolio
• The Europe Climate Change Friendly Model Portfolio
“Companies are under increasing scrutiny from investors as to how they are producing, managing and delivering their goods and services in a more sustainable and climate-friendly way,” said Paul Beland, Head of Equity Research with CFRA. “These models focus on providing exposure to those companies in the U.S. and Europe, respectively, that have lower carbon exposure, are less dependent on fossil fuels, and meet our rigorous internal screening and analysis processes.”
• The U.S. Women’s Participation Model Portfolio
• The Europe Women’s Participation Model Portfolio
“By now, the evidence is clear that stock performance shows a marked improvement when there is gender diversity in a company’s leadership,” added Beland. “So, with these models, we have focused on identifying the universe of companies with gender diversity in key leadership roles. From there, the companies with the highest CFRA star rankings and qualifying proprietary forensic accounting analyses make up the final selection of portfolio constituents.
• The Global ESG Asset Allocation ETF Model Portfolio
“The ESG ETF category has exploded in recent years and investor demand is starting to keep pace with the rate at which the fund industry has been introducing new approaches,” added Todd Rosenbluth, Head of ETF & Mutual Fund Research at CFRA. “This model leverages our industry-leading ETF data, research and ratings methodology to arrive at a global core ESG ETF portfolio that includes both equity and fixed income funds.”
As with all of CFRA’s model portfolio offerings, these new ESG models will benefit from the breadth and depth of CFRA’s entire research team, which includes more than 75 highly experienced professionals, with analytical expertise in fundamental research and forensic accounting. In addition, these models will be managed by CFRA’s expert Portfolio Management Committee, a 12-member team with an average of more than 20 years’ relevant experience per person.
“We’re very excited to be adding to our already robust suite of model portfolios,” continued Beland. “We remain committed to listening to our clients and the broader marketplace to best understand their needs on both the research and portfolio construction fronts and using that information to drive our ongoing investments in innovative new solutions.”
For more information about CFRA and its model portfolio offerings, please visit www.cfraresearch.com.
ABOUT CFRA
Founded in 1994, CFRA is one of the world’s largest providers of independent investment research. Through a differentiated methodology blending forensic accounting, fundamental equity research, and technical analysis, CFRA empowers its clients to confidently evaluate sectors, industries, funds, and companies with unique insights, alternative data, and proven results.
CFRA operates worldwide to help its more than 2,000 clients, including many of the world’s leading institutional investors, wealth advisors, corporations, academic institutions, governments, and individual investors to make sound investment and business decisions.
For more information about CFRA, please visit www.cfraresearch.com.
Contacts
CFRA Press Inquiries
One New York Plaza, 34th Floor
New York, N.Y. 10004
press@cfraresearch.com
or
Chris Sullivan
MacMillan Communications c/o CFRA
chris@macmillancom.com
(212) 473-4442
NEW YORK, March 31, 2021 – CFRA, one of the world’s largest providers of independent investment research, today announced the launch of five new ESG-focused model portfolios.
These new model portfolios join an existing CFRA model set that already includes 15 equity and ETF model portfolios with live track records ranging from 10 to 24 years, many of which have significantly outperformed the market over both the short- and long-term. CFRA’s research is grounded in financial, forensic accounting and valuation analysis that focuses on forward-looking issues relative to market expectations. With these new models, CFRA is applying that same lens to equities and ETFs from an ESG perspective, and is launching the following:
• The U.S. Climate Change Friendly Model Portfolio
• The Europe Climate Change Friendly Model Portfolio
“Companies are under increasing scrutiny from investors as to how they are producing, managing and delivering their goods and services in a more sustainable and climate-friendly way,” said Paul Beland, Head of Equity Research with CFRA. “These models focus on providing exposure to those companies in the U.S. and Europe, respectively, that have lower carbon exposure, are less dependent on fossil fuels, and meet our rigorous internal screening and analysis processes.”
• The U.S. Women’s Participation Model Portfolio
• The Europe Women’s Participation Model Portfolio
“By now, the evidence is clear that stock performance shows a marked improvement when there is gender diversity in a company’s leadership,” added Beland. “So, with these models, we have focused on identifying the universe of companies with gender diversity in key leadership roles. From there, the companies with the highest CFRA star rankings and qualifying proprietary forensic accounting analyses make up the final selection of portfolio constituents.
• The Global ESG Asset Allocation ETF Model Portfolio
“The ESG ETF category has exploded in recent years and investor demand is starting to keep pace with the rate at which the fund industry has been introducing new approaches,” added Todd Rosenbluth, Head of ETF & Mutual Fund Research at CFRA. “This model leverages our industry-leading ETF data, research and ratings methodology to arrive at a global core ESG ETF portfolio that includes both equity and fixed income funds.”
As with all of CFRA’s model portfolio offerings, these new ESG models will benefit from the breadth and depth of CFRA’s entire research team, which includes more than 75 highly experienced professionals, with analytical expertise in fundamental research and forensic accounting. In addition, these models will be managed by CFRA’s expert Portfolio Management Committee, a 12-member team with an average of more than 20 years’ relevant experience per person.
“We’re very excited to be adding to our already robust suite of model portfolios,” continued Beland. “We remain committed to listening to our clients and the broader marketplace to best understand their needs on both the research and portfolio construction fronts and using that information to drive our ongoing investments in innovative new solutions.”
For more information about CFRA and its model portfolio offerings, please visit www.cfraresearch.com.
ABOUT CFRA
Founded in 1994, CFRA is one of the world’s largest providers of independent investment research. Through a differentiated methodology blending forensic accounting, fundamental equity research, and technical analysis, CFRA empowers its clients to confidently evaluate sectors, industries, funds, and companies with unique insights, alternative data, and proven results.
CFRA operates worldwide to help its more than 2,000 clients, including many of the world’s leading institutional investors, wealth advisors, corporations, academic institutions, governments, and individual investors to make sound investment and business decisions.
For more information about CFRA, please visit www.cfraresearch.com.
Contacts
CFRA Press Inquiries
One New York Plaza, 34th Floor
New York, N.Y. 10004
press@cfraresearch.com
or
Chris Sullivan
MacMillan Communications c/o CFRA
chris@macmillancom.com
(212) 473-4442