HANetf says new index boosts ARMY ETF’s responsible appeal

HANetf Head of Research Tom Bailey talked with Proactive's Stephen Gunnion about the reclassification of the Future of European Defence UCITS ETF (ARMY) under Article 8 of the EU SFDR regulation. The ETF is undergoing an index change that will shift its holdings to a screened version of the current index, incorporating more responsibility-focused criteria. Bailey explained that the updated index will consist exclusively of companies based in European NATO member countries, with a zero-tolerance policy on controversial weapons like cluster munitions and anti-personnel mines. This change is intended to enhance the ETF’s alignment with Europe’s industrial and defence objectives while meeting the regulatory requirements of stricter markets such as Italy and the Netherlands. Currently, no defence-focused ETF exceeds an Article 6 classification. Bailey noted, “Once this index change takes effect and our ETF is reclassified as Article 8, then it'll be the only defense ETF with this Article weight classification.” The move opens the ETF to a broader pool of institutional investors across Europe who are restricted to Article 8 or higher products. HANetf expects this strategic update to increase accessibility and relevance amid growing demand for both defence exposure and responsible investing. Visit Proactive's YouTube channel for more interviews, and don't forget to like this video, subscribe to the channel, and turn on notifications so you never miss future content. #HANetf #DefenseETF #ARMYETF #Article8 #ESGInvesting #EuropeanDefense #NATO #SFDR #ResponsibleInvesting #ETFNews #SustainableFinance