NEW YORKFTSE is ramping up its partnership with the Conflict Securities Advisory Group, which has been focusing on Iran, North Korea, Sudan and Syria since 2001, through the new FTSE CSAG Terror-Free Index Series, launched here Wednesday at a press conference at the Womens National Republican Club.
FTSE Americas will initially focus on marketing the global index, which whittles the index of companies that have absolutely no ties to any business in the four regions down to a mere 1,900 firms, to institutional investorsprimarily to pension funds.
Demand among ordinary retail investors for the index, however, is likely to rise, as legislation supporting terror-free businesses and government entities gains steam, attested speakers, Sen. Craig M. Johnson (D-N.Y.) of the 7th District, among them.
Within the next week, FTSE will also announce a retail exchange-traded fund, according to industry sources, and one of FTSE's largest custodians, Northern Trust, is likely to be the sponsor.
Terror-free investing is the next generation of socially responsible investing, said the Hon. Roger W. Robinson, Jr., CSAG president and former Senior Director of International Economic Affairs at the National Security Council during the Reagan Administration.
Federal legislation is coming because its a matter of Americans perception [about] international security concerns and investment policy, Robinson said.
Sen. Johnson added: Its incredible when you talk to a retired police officer or firefighter and tell them its likely their pension fund is likely doing business with a country that has ties to a country that has said it would like to wipe Israel off the map or that has made no bones about their intent to destroy our country.
Investors want that accountability from their legislators. They want them to take a stand, Sen. Johnson added.