Vanguard VEFI ETF (ASX:VEFI)
The Vanguard VEFI ETF provides investors with exposure to high-quality debt securities issued by governments, government-owned and government-guaranteed entities, and investment-grade corporate issuers from global markets. This ethical ETF excludes issuers with significant business activities in fossil fuels, alcohol, tobacco, gambling, weapons, nuclear power, and adult entertainment.
What does the VEFI invest in?
VEFI invests in more than 1,000 debt securities issued by governments, government-owned and government-guaranteed entities, as well as investment-grade corporate issuers. This ETF uses a negative screening approach to exclude any issuers with significant business activities in fossil fuels, alcohol, tobacco, gambling, weapons, nuclear power, and adult entertainment. The weighted average credit quality of the portfolio is AA-.
What do investors use VEFI for?
The VEFI ETF might be used by investors who want to take an ethical approach to investing in global credit markets. This ETF provides an opportunity to gain access to high-quality global issuers while avoiding issuers from certain ‘problematic’ industries. Global bond ETFs can be used to diversify equity holdings or Australian bond holdings.
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