NextBillion - An Initiative of the William Davidson Institute at the University of Michigan

Tuesday, June 23, 2015

Calvert Investments, Inc., a global leader in Responsible Investing, announced today a major new initiative that the firm describes as the next step in the evolution of responsible investing. The firm is building upon its global Responsible Investing research expertise and has launched a suite of Responsible Indexes and related lower cost Index Funds that will track them.

HIGHLIGHTS

Three distinct U.S. large cap indexes have been created based on style.

Calvert U.S. Large Cap Growth Responsible Index

Calvert U.S. Large Cap Core Responsible Index

Calvert U.S. Large Cap Value Responsible Index

The existing Calvert Social Index Fund has become the Calvert U.S. Large Cap Core Responsible Index Fund (NASDAQ: CSXAX). Calvert is also launching two additional index funds, the Calvert U.S. Large Cap Growth Responsible Index Fund (NASDAQ: CGJAX) and the Calvert U.S. Large Cap Value Responsible Index Fund (NASDAQ: CFJAX), each based on one of the new indexes. The Funds are all available to the public on Monday, June 22.

Additional Responsible Indexes and Funds providing coverage of other significant portions of the global equity markets are anticipated later this year, including U.S. mid cap, non-U.S. developed markets and emerging markets.

Calvert’s indexes and investment products are evolving to meet both the growing interest in responsible investing and the increasing demand for lower-cost options. Said John Streur, CEO, Calvert Investments, “Investors want to access companies that are global leaders in ESG and that are capable of producing competitive returns. An index strategy provides a truly cost efficient way to do that.

“Calvert Investments has over 30 years of leadership in defining the environmental, social and governance (ESG) factors in the investment context. Combine this with its shareholder engagement and there is no better firm to drive positive change for investors. Calvert is committed to meeting the evolving needs of our institutional and private clients with innovative products that improve on the characteristics of Responsible Investing and passive investing.”

The new index suite reflects the continued evolution of Calvert’s research system and the increasing availability of non-financial data. “Calvert’s process analyzes, scores and ranks every company on material ESG risk and opportunity across all 156 GICS sub-sectors,” said Erica Lasdon, Director, Sustainability Research. “This approach focuses on those ESG factors that are most material in each sector or industry. The way we apply proprietary technology allows us to take a leap forward,” she said.

Calvert has partnered with indexing leader S-Network Global Indexes, Inc. (SNGI) to manage the benchmark universes. Calvert Responsible Index Portfolio Manager Laurie Webster, CFA, said, “S-Net specializes in sustainable and impact investing. The firm has developed several important Impact indexes, including the S-Network Global Water Index and the Ardour Global Alternative Energy Indexes – both of which Calvert uses in long-standing investment products.”

Information about the Calvert Responsible Index Series as well as Calvert’s Principles of Responsible Investing can be found on www.Calvert.com.