Our world is facing increasing environmental, social and governance (ESG) challenges. As companies, markets, and economies become more global and interdependent, businesses and investors are becoming increasingly aware of the ESG-related risks and opportunities which are affecting the performance of companies and investment portfolios. Therefore, companies and investors need to take a wider view, acknowledging the full spectrum of risks and opportunities facing them, in order to allocate capital in a manner that is aligned with ESG considerations.
We believe that companies can perform responsible and sustainable conduct by integrating ESG factors into their core business practices. The interests of shareholders, over time, will be best served by companies that maximize their financial return by strategically managing the ESG factors. Academic studies1 shows that companies with good performance on material ESG issues deliver improved long-term returns.
We also believe that investors can enhance investment performance by incorporating ESG considerations into investment analysis and decision-making processes as a way of identifying risks and opportunities. According to 2018 Global Sustainable Investment Review2, at the start of 2018, global sustainable investment reached $30.68 trillion, compared with $22.89 trillion in 2016, an increase of 34 percent. The largest sustainable investment strategy globally is negative/exclusionary screening with a combined $19.8 trillion in assets under management. This is followed by ESG integration, which has grown by 69 percent over the past two years, to $17.5 trillion in assets.
Our approach is based on our belief that ESG performance plays the vital role in long-term profitability of companies. By integrating ESG factors into traditional investment philosophy, over time, can add on the term we called ‘ESG value’ to the investment returns.
Our Mission
To promote companies effectively incorporating ESG considerations into corporate strategy and decision-making processes.
To support investors in facilitating market adequately reward the sustainable conduct of companies, and contributing the long-term health and stability of the market as a whole.
Our Vision
To provide a benchmark in sustainable investment based on ESG value.
--------------------------------------
1 Refer to 'Turning a Profit While Doing Good: Aligning Sustainability with Corporate Performance' article, and 'Corporate Sustainability: First Evidence on Materiality' paper.
2 http://www.gsi-alliance.org/trends-report-2018/
We believe that companies can perform responsible and sustainable conduct by integrating ESG factors into their core business practices. The interests of shareholders, over time, will be best served by companies that maximize their financial return by strategically managing the ESG factors. Academic studies1 shows that companies with good performance on material ESG issues deliver improved long-term returns.
We also believe that investors can enhance investment performance by incorporating ESG considerations into investment analysis and decision-making processes as a way of identifying risks and opportunities. According to 2018 Global Sustainable Investment Review2, at the start of 2018, global sustainable investment reached $30.68 trillion, compared with $22.89 trillion in 2016, an increase of 34 percent. The largest sustainable investment strategy globally is negative/exclusionary screening with a combined $19.8 trillion in assets under management. This is followed by ESG integration, which has grown by 69 percent over the past two years, to $17.5 trillion in assets.
Our approach is based on our belief that ESG performance plays the vital role in long-term profitability of companies. By integrating ESG factors into traditional investment philosophy, over time, can add on the term we called ‘ESG value’ to the investment returns.
Our Mission
To promote companies effectively incorporating ESG considerations into corporate strategy and decision-making processes.
To support investors in facilitating market adequately reward the sustainable conduct of companies, and contributing the long-term health and stability of the market as a whole.
Our Vision
To provide a benchmark in sustainable investment based on ESG value.
--------------------------------------
1 Refer to 'Turning a Profit While Doing Good: Aligning Sustainability with Corporate Performance' article, and 'Corporate Sustainability: First Evidence on Materiality' paper.
2 http://www.gsi-alliance.org/trends-report-2018/