Transparency Index™

EXCLUDED Industry:
CHEMICAL

Summary of Methodology

Transparency Index™ methodology applies the exclusionary screening process to filter out industries that do not align with a positive impact on investment performance and the well-being of people.

Description of Industry

Chemical industry is comprised of companies manufacturing industrial chemicals and their derivatives by converting raw materials such as oil, natural gas, air, water, metals and minerals into more that 70,000
different products.

Chemicals industry, as defined by sector GICS classification, includes Commodify Chemicals, Diversified Chemicals, Fertilizers & Agricultural Chemicals, Industrial Gases and Specialty Chemicals.

Reason for Exclusion

  1. Chemical industry failed two transparency factors: Terms and Conditions and Trust
  2. Fertilizer and Chemical use causes 2 million deaths per year.
  3. Negatively impacts performance.

Harmful Impact

Investment in chemical production and use have adverse impacts on human, societal and environmental well-being.

  • 2 Million Deaths caused by hazardous chemical exposure in 2019, a 29% increase from 2016.1
  • 80% of Global Marine Damage
    comes from agricultural fertilizers and pesticide runoff.2
  • ~144,000 Annual Cancer and Disease Cases
    attributed to toxic chemicals.3
  • $349B Annual Economic Burden of Chemicals.4

Performance Impact

The Transparency Index 5-year cumulative dollarized return is more than 1.9 times higher than the S&P 500 Index and 2.6 times higher than the S&P 500 Chemicals Industry Index.

Transparency Index Performance Impact vs. S&P 500

 

  • The graph shows cumulative returns for the period from January 1, 2017 to December 31, 2021
  • Starting value $10,000 hypothetical investment, assuming no withdrawal and no dividends
  • Past performance is not an indicator of future performance
  • View Annualized Returns*

*The Transparency 100 Index (the “Index”) commenced on June 16th, 2021 following the market close. All information presented prior to this date is back-tested. Back-tested performance is hypothetical performance, not actual performance. Back-tested performance is prepared by retrospectively applying the Index methodology to historical information with the benefit of hindsight.  Back-tested performance, therefore, does not reflect the results of actual trading.  Back-tested, as well as actual performance, are not indicative of future results.  The back-tested performance uses the same methodology that was in effect when the Index officially launched on June 16th, 2021. The back-tested performance shown in this presentation are unaudited, and do not reflect the investment of dividends or other earnings. The Index does not reflect the reinvestment of dividends.