Dow Jones Indexes and SAM Sustainability Group have launched the first global indices that assess the performance of the sustainability-driven companies worldwide.
The Dow Jones Sustainability Group Indexes (DJSGI) are split into one global, three regional – North America, Europe and Asia-Pacific – and a US index.
Derived from the Dow Jones Global Indexes , the DJSGI family consists of more than 200 companies that represents the top 10% of the leading sustainability companies in 68 groups in the 22 countries covered by the DJGI. For each geographical area there are also four specialised indices that exclude alcohol, gambling and tobacco and all three.
John Prestbo, Dow Jones indices editor, says that “sustainability investments have a long-term benefit”, making it attractive for investors. The corporate sustainability performance of the companies is assessed and scored on the basis of an industry-specific questionnaire, analysis of company policies and reports as well as stakeholder relations. The assessment methodology consists of a multi-factor analysis including ecological, social and economic criteria that are equally weighted .
“Indices are transparent sources of information. Our purpose is to build an investment index ,” says Prestbo. “We don’t disclose the information we get through our questionnaire.”
Reto Ringger, SAM Sustainability Group CEO, says that “sustainability investments have developed in the past few years, from socially responsible investments in the 1970s and pollution control technology in the 1980s to investment in eco-efficiency during the last decade”.