Franklin Templeton has announced the launch of two new article 8 indexed exchange-traded funds (ETF), the Franklin S&P 500 Screened UCITS ETF and the Franklin S&P World Screened UCITS ETF.

The new offering adds to the suite of index-tracking ETFs in the Franklin Templeton ETF range, bringing the total number of UCITS ETFs classified as either article 8 or 9 to 17.

The new ETFs listed on the Deutsche Börse (XETRA) on 16 April 2025, London Stock Exchange (LSE) and Euronext Paris on 17 April, and will list on the Borsa Italiana on 24 April.

They are now registered for distribution in Austria, Denmark, Finland, France, Germany, Ireland, Italy, Luxembourg, Netherlands, Spain, Sweden, and the United Kingdom.

The Franklin S&P 500 Screened UCITS ETF will invest in large and mid-capitalisation stocks in the US, while the Franklin S&P World Screened UCITS ETF will invest in large and mid-capitalisation stocks globally.

They will track the S&P 500 Guarded Index and S&P Guarded World Index, which aim to provide a screened equity exposure with an enhanced ESG profile and a focus on minimising performance deviation to their respective parent index.

Both ETFs will be managed by Franklin Templeton head of global index portfolio management, Dina Ting, and ETF portfolio manager, Lorenzo Crosato.

“These new ETFs offer a cost-efficient and transparent way to access core equity exposures with enhanced ESG profiles and reduced carbon footprint, keeping a tight tracking to traditional core indices,” stated Franklin Templeton head of ETF distribution, EMEA, Caroline Baron.

“These ETFs would be suitable for investors looking to invest in core exposures that are article 8 compliant and those seeking a tight tracking versus the traditional benchmarks such as S&P 500 and S&P World.

“These ETFs could be used with traditional core solutions to complement them for example.”

Franklin Templeton head of UCITS ETF product strategy, Rafaelle Lennox, added: "We are pleased to have collaborated with S&P in the creation of this unique index range, the S&P Guarded index family.

“These indices achieve two objectives, which include an enhanced ESG and carbon emission profile while maintaining minimal performance deviation from the parent indices, S&P 500 and S&P World respectively.

“This is unique in the market and supports our clients' evolving needs and priorities.”

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