Morgan Stanley ETF Trust - Calvert International Responsible Index ETF (CVIE)

Overview

The Morgan Stanley ETF Trust - Calvert International Responsible Index ETF (CIIH) is designed to provide investors with exposure to international developed market equities that adhere to specific environmental, social, and governance (ESG) criteria. The ETF focuses on companies that meet Calvert's rigorous responsible investing standards, aiming for long-term growth while promoting sustainability.

Reputation and Reliability

Morgan Stanley is a globally recognized financial services firm with a strong reputation for its expertise in investment management and a long history of serving institutional and retail investors. The ETF Trust is part of their broader offering.

Management Expertise

Managed by Calvert Research and Management, an affiliate of Morgan Stanley, the ETF benefits from a dedicated team with extensive experience in responsible investing and ESG integration, known for its deep research capabilities.

Goal

The primary investment goal of the ETF is to track the performance of the Calvert International Responsible Index, providing investors with diversified exposure to international developed market companies that meet specific ESG standards.

Investment Approach and Strategy

Strategy: The ETF aims to replicate the performance of its benchmark index, the Calvert International Responsible Index. It employs a passive investment strategy, holding a diversified portfolio of securities that are constituents of the index.

Composition The ETF primarily holds equities of international developed market companies. The selection of these companies is based on their adherence to ESG principles as defined by the Calvert methodology.

Market Share: Data on specific market share for this ETF is not readily available in a universally defined format. Its market position is determined by its AUM relative to other international ESG ETFs.

Total Net Assets (AUM): 365000000

Key Competitors

• iShares MSCI EAFE ESG Leaders ETF (ESGD)
• Vanguard FTSE Developed Markets ESG ETF (VEPD)
• iShares MSCI KLD 400 Social ETF (DSI)

Competitive Landscape

The international ESG ETF landscape is competitive, with several established players offering similar exposure. CIIH competes on its specific ESG methodology and the backing of Morgan Stanley. Its advantage lies in its focused ESG approach, while a potential disadvantage could be its smaller AUM compared to some larger competitors, which might affect liquidity or operational efficiencies.

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Expense Ratio: 0.35

Average Trading Volume

The ETF has an average daily trading volume of approximately 50,000 shares.

Bid-Ask Spread

The bid-ask spread is generally tight, typically ranging between 0.05% and 0.10% of the ETF's price.

Market Environment Factors

The ETF is influenced by global economic conditions, geopolitical events, currency fluctuations, and evolving ESG regulations and investor preferences in developed international markets. Sector performance within these markets also plays a significant role.

Growth Trajectory

The ETF has seen steady growth in its AUM, driven by increasing investor demand for ESG-compliant international equities. Strategy and holdings are tied to the evolution of the Calvert International Responsible Index.

Competitive Edge

The ETF's competitive edge stems from its deep-rooted expertise in responsible investing through Calvert. Its rigorous ESG screening process and the backing of Morgan Stanley provide credibility and access to a global network. This focus allows it to capture opportunities in companies committed to sustainability, aligning with the growing demand for ethical investments.

Volatility

The ETF exhibits moderate historical volatility, consistent with broad international equity market performance, but with potential dampening effects from ESG screening.

Market Risk

Market risks include currency fluctuations, geopolitical instability in international markets, and shifts in investor sentiment towards ESG investments. Specific sector downturns within the developed international markets can also impact performance.

Ideal Investor Profile

The ideal investor is one seeking diversified exposure to international developed market equities with a strong emphasis on ESG principles. This includes investors looking for long-term growth, ethical investment alignment, and a degree of risk mitigation through responsible companies.

Market Risk

This ETF is best suited for long-term investors who want to integrate ESG considerations into their international equity portfolio and are comfortable with the risks associated with developed international markets.

The Morgan Stanley ETF Trust - Calvert International Responsible Index ETF (CIIH) offers investors a ESG-focused approach to developed international equities, tracking the Calvert International Responsible Index. Backed by Morgan Stanley and managed by Calvert Research and Management, it appeals to ethically-minded long-term investors. While competitive, its rigorous ESG methodology and brand recognition are key differentiators in the growing sustainable investment landscape.

Data Sources:

• Morgan Stanley ETF Trust Official Filings and Prospectus
• Third-party financial data providers (e.g., Morningstar, ETF.com)
• Calvert Research and Management website

Disclaimers:

This analysis is based on publicly available data and is intended for informational purposes only. It does not constitute investment advice. ETF performance can fluctuate, and past results are not indicative of future returns. Investors should consult with a qualified financial advisor before making investment decisions.