Global Sustainability Index
For those investors who are socially conscious, the Global Sustainability Index Fund may be the Fund for you. Companies that adhere to widely accepted sustainability principles can help protect the environment and foster more favorable living conditions for future generations. Their practices might include; stewardship of the environment, service to local communities and society at large, commitments to higher labor standards, focus on safe, high-quality products and exemplary and ethical management.
Seeks to Replicate Index
- Seeks to replicate the investment composition and overall performance of the stocks included in the MSCI World ESG Leaders Index.
- The Index is a diversified, sector neutral global benchmark constructed using environmental, social and governance (ESG) factors.
- Sector and regional neutrality is designed to help the Index outperform other social responsibility and sustainability indices.
If you are an investor who wants to invest in a broad, diversified set of large- and mid-cap developed global companies in North America, Europe and Asia-Pacific, that are selected based on sector ranking of environmental, social and government factors, you may find this Fund attractive.
2% on shares sold or exchanged within 30 days of purchase
Among 4,960 World Large Stock Funds as of 6/30/2019. Based on 98.90% of AUM.
*The Morningstar Sustainability Rating is a measure of how well the companies held by a fund are managing their Environmental, Social and Governance ("ESG") risks and opportunities when compared with similar funds. A fund's Sustainability Rating is assigned in two steps: First, a Morningstar Portfolio Sustainability Score is derived from an asset-weighted average of the underlying company ESG scores with deductions made for holdings involved in controversial incidents. Next, funds are sorted into five normally distributed groups by comparing a fund’s Portfolio Sustainability Score with that of its Morningstar Category peers. The peer groups are assigned as follows: 5 Globe Icons (“High”) = top 10% of funds in an asset category; 4 Globe Icons ("Above Average") = next 22.5% of funds; 3 Globe Icons ("Average") = next 35%; 2 Globe Icons ("Below Average") = next 22.5% and 1 Globe Icon ("Low") = next 10%.
For a portfolio to receive a Morningstar Sustainability Score, at least 50% of its assets must be in one of the more than 4,500 companies covered by Sustainalytics (a research firm which collects ESG data) globally. To receive a Morningstar Sustainability Rating, at least 10 funds in a Morningstar Category must also receive a Portfolio Sustainability Score. The Sustainability Rating is portfolio-based, not performance-based. It should be used alongside traditional risk, return, and style metrics as well as qualitative assessments of a fund's investment process and how well it has been executed over time. Sustainability scores are calculated on a monthly basis and range from 0 to 100, 100 being the best. For more information, visit global.morningstar.com/SustainableInvesting.
As of 6/30/19, the Global Sustainability Index Fund received the following: ESG Score 58.28 – Controversy Score 6.54 which equals a Sustainability score 51.74 (15% category rank; 4,960 funds) and a Sustainability Rating of 4 Globe Icons (or “Above Average”).
Important risk information can be found on the Portfolio tab.
Not FDIC insured | May lose value | No bank guarantee
Please carefully read the prospectus and summary prospectus and consider the investment objectives, risks, charges and expenses of Northern Funds before investing. Call 800-595-9111 to obtain a prospectus and summary prospectus, which contains this and other information about the funds.
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