FTSE Blossom Index Series

The Series provides a comprehensive, cross-asset solution and includes the FTSE JPX Blossom Japan Index, the FTSE Blossom JPX Japan Sector Relative Index, the FTSE Blossom World Index Series, and the FTSE Blossom Fixed Income Index Series.

FTSE Blossom indices are designed to incorporate ESG considerations without deviating significantly from the design and performance of the traditional market capitalisation-weighted benchmarks. To minimise any industry or sector bias, the indices are constructed using an industry-neutral or sector-neutral approach.

The FTSE Blossom World Index Series and FTSE Blossom World Sector Relative Index Series are designed to include global companies that have chosen to actively demonstrate ESG activities. This is based on the proprietary FTSE Russell ESG Data Model, which uses a transparent methodology to assess a company's exposure and performance.

FTSE Blossom Indices:

Facilitate ESG integration to enable better corporate sustainability performance and practices as measured by the FTSE ESG Scores.
Provide an established transparent reference in the capital markets to facilitate company disclosure and enable company engagement.

The indices can be used as performance benchmarks or as the basis for index-linked products including index-tracking funds, derivatives and Exchange Traded Funds (ETFs).

FTSE Blossom World Composite Index
FTSE JPX Blossom Japan Index
FTSE JPX Blossom Japan Sector Relative Index
FTSE JPX Blossom Japan Fixed Income Index

Industry-neutral approach to minimise industry bias by matching weights with those of the underlying index
Companies need to meet a variety of ESG criteria to meet the inclusion requirements
The index selects companies with ESG scores 3.3 and above (2.9 for EME)
The index provides an established transparent reference in the capital markets to facilitate company disclosure and enable company engagement

Approximately 200 Japanese securities
Industry-neutral approach to minimise industry bias by matching weights with those of the underlying index
Selects Japanese companies with ESG Score 3.3 and above
Since 2017, demonstrates a clear ESG standard for market participants and companies to utilise in their stewardship and engagement efforts

Approximately 500 Japanese securities
Sector-neutral approach to minimise sector bias by matching weights with those of the underlying index
Selects Japanese companies in the top 50% of each sector and with ESG Score 2.0 and above
Supports climate transition to a low carbon economy by evaluating companies’ climate governance and climate change efforts with the TPI Management Quality Score.

Selects debt issued by public companies that are included in the FTSE JPX Blossom Japan Sector Relative Index and their subsidiaries
Focuses on Japanese public companies and their subsidiaries demonstrating specific environmental, social and governance practices (ESG), supporting multi-asset ESG solutions
Focuses on bonds issued by Japanese public companies and selects issuers from the members of the FTSE JPX Blossom Japan Sector Relative Index and their subsidiaries.

Factsheets
Methodology
Index resources
Constituents

Comprehensive and representative

Modular construction

Rigorously maintained

Market participants are increasingly looking to incorporate sustainable investment approaches into their investment philosophies and strategies. To support this growing demand, the FTSE Blossom Index Series is designed to identify and measure the performance of companies that demonstrate specific Environmental, Social and Governance (ESG) practices via the FTSE ESG Scores methodology.

Facilitating ESG integration into the Japanese market – to support improved ESG outcomes and drive better corporate sustainability performance and practices using FTSE ESG Scores
Company engagement – to provide an established transparent reference in the capital markets and to improve company engagement, disclosure and investment stewardship practices
Index uses – as performance benchmark or as the basis for index-linked products including index tracking funds, derivatives and Exchange Traded Funds (ETFs)