BlackRock’s electric vehicle ETF will see a change to its strategy following a review from index provider STOXX.
Effective 24 June, the iShares Electric Vehicles and Driving Technology UCITS ETF (ECAR) – which tracks the STOXX Global Electric Vehicles & Driving Technology index – will see changes to four groups within the selection process.
As part of the changes, STOXX has created a new combined group – ‘electric vehicle battery and charging’ – which includes battery suppliers and charging station manufacturers.
Furthermore, the index provider has tweaked the ‘electric vehicle manufacturers’ category so the requirement for a supply chain link in the ‘potential electric vehicles manufacturer’ group has been removed.
Additionally, a group titled ‘driving technologies’ has been added.
In a shareholder notice, BlackRock said the index constituents will be “more directly aligned with the electric vehicles and driving technology theme” following the changes.
Additionally, the parent index will be switched from the STOXX Global Target Market index to the STOXX World AC All Cap index.
Elsewhere, BlackRock’s SRI ETF range underwent several methodology changes in a bid to make the sector composition more tightly aligned with the parent index.
