The MSCI KLD 400 Social Index was launched in 1990 and is designed to help socially conscious investors weigh social and environmental factors in their investment choices. It was founded by KLD's Amy Domini as the Domini 400 Social Index.
The MSCI KLD 400 Social Index is designed to provide exposure to the common stocks of companies that KLD determines have positive environmental, social and corporate governance (ESG) characteristics. The KLD400 consists of 400 companies drawn from the universe of the 3,000 largest U.S. public equities as measured by float-adjusted market capitalization. The index is composed approximately 90% of large-cap companies, 9% mid-cap companies chosen for sector diversification, and 1% small-cap companies with exemplary social and environmental records.
The eligible universe for the KLD400 is the 3,000 largest U.S. companies (by float-adjusted market capitalization) in the U.S. equity market. KLD selects the eligible universe index on April 15 (or closest business day) of each year.
KLD defines U.S. equity as follows: U.S. headquarters Primary market listing is the NYSE or NASDAQ Companies with non-U.S. incorporation for tax or regulatory purposes are evaluated on a case-by-case basis
KLD follows the rules of the FTSE AWD USA Index.
The following types of equities are not eligible for the KLD400: Preferred stocks Limited or other types of partnerships Royalty trusts Closed-end funds
In 2010, it was renamed from FTSE KLD 400 Social Index to MSCI KLD 400 Social Index.
Sector representation
The GICS breakdown is shown here. The index is highly concentrated—i.e., information technology makes up over 39% of the total market capitalization.
+Total return (%) for each calendar yearYearMSCI KLD 400 Social Index201931.3202020.8202131.32022-21.7202328.5202422.5
Selected constituents Constituents which make up 70% of the total index weight. As can be seen, 33% of the index is made up from three companies (Nvidia, Microsoft, and Alphabet). + ConstituentSectorWeight (%)https://finance.yahoo.com/quote/DSI/holdingsAbbvie IncHealth Care1.17Accenture plc class AInformation Technology0.71Adobe IncInformation Technology0.92Advanced Micro Devices IncInformation Technology1.01Alphabet Inc class ACommunication4.09Alphabet Inc class cCommunication3.57American ExpressFinancials0.51Amgen IncHealth Care0.63Analog Devices IncInformation Technology0.45Applied Material IncInformation Technology0.77Blackrock IncFinancials0.45Blk csh fnd treasury sl agencyCash and/or Derivatives0.42Booking Holdings IncConsumer Discretionary0.52Bristol Myers SquibbHealth Care0.33Caterpillar IncIndustrials0.63Charles Schwab CorpFinancials0.43Chubb LtdFinancials0.41Cisco Systems IncInformation Technology0.73CME Group Inc class AFinancials0.28Coca-ColaConsumer Staples1Colgate-PalmoliveConsumer Staples0.29Danaher CorpHealth Care0.7Eaton PlcIndustrials0.5Elevance Health IncHealth Care0.49Equinix REIT IncReal Estate0.28FIS (company)Financials0.17Gilead Sciences IncHealth Care0.32Home DepotConsumer Discretionary1.35Illinois Tool IncIndustrials0.28Intel CorporationInformation Technology0.51Intercontinental Exchange IncFinancials0.3International Business Machines CoInformation Technology0.61Intuit IncInformation Technology0.65Johnson ControlsIndustrials0.18Kimberly-ClarkConsumer Staples0.18Lam Research CorpInformation Technology0.53Linde PlcMaterials0.83Lowes Companies IncConsumer Discretionary0.5Mastercard Inc class AFinancials1.45McDonald's CorpConsumer Discretionary0.72Merck & Co IncHealth Care1.29Microsoft CorpInformation Technology12.25Morgan StanleyFinancials0.46Nike Inc class BConsumer Discretionary0.44Nvidia CorpInformation Technology12.93Oracle CorpInformation Technology0.89Pepsico IncConsumer Staples0.88Phillips 66Energy0.23Procter & GambleConsumer Staples1.54Progressive CorpFinancials0.47Prologis REIT IncReal Estate0.41Quanta ServicesIndustrials0.16Roper TechnologiesInformation Technology0.23S&P Global IncFinancials0.55Salesforce IncInformation Technology0.88SempraUtilities0.19Servicenow IncInformation Technology0.59Sherwin WilliamsMaterials0.28Tesla IncConsumer Discretionary2Texas InstrumentsInformation Technology0.69Trane Technologies plcIndustrials0.29Union Pacific CorporationIndustrials0.53Verizon Communications IncCommunication0.65Vertex Pharmaceuticals IncHealth Care0.49Visa Inc class AFinancials1.68Walt DisneyCommunication0.72XeroxInformation Technology0.01Zoetis Inc class aHealth Care0.31
See also Calvert Social Index FTSE4Good Index Russell 3000 Index
References
External links MSCI KLD 400 Social Index Factsheet