TOKYO, FEBRUARY 27, 2020: S&P Dow Jones Indices (“S&P DJI”), the world’s leading index provider, today announced that it has won the ESG Finance Award 2020’s Gold Prize in the Financial Services Category. This prestigious annual award, hosted by Japan’s Ministry of Environment, recognizes companies for their advanced initiatives and outstanding contributions in the Environmental, Social and Governance (ESG) finance and sustainable investment space in the country.
A selection committee comprised of academics, investment professionals and environmental experts in Japan evaluated the submissions. S&P DJI stood out from a highly competitive pool of award entries to become the sole winner in this category for its innovative efforts in promoting more transparency in ESG disclosures through its indices and actively engaging with the local investment community.
Tracked by Japan’s Government Pension Investment Fund for its ESG investment portfolios, the S&P Global Carbon Efficient Indices have seen remarkable results since inception in 2018. As of December 2019, the indices showed a reduction of the greenhouse emissions (GHG) of the constituents by 21% in Japan and 39% overseas, while maintaining a similar risk and return profile of the parent benchmarks. In addition, as at the March 2019 index rebalance, there was a significant boost in the number of companies sufficiently disclosing their carbon emissions including 33 companies based in Japan and a further 113 companies based elsewhere around the globe.
“S&P Dow Jones Indices is proud to be recognized by the Japanese government for our ongoing efforts and contributions in the ESG space. We are very pleased to receive another award in Japan shortly after we were honored by Tokyo’s city government with an ESG financial award this month, said Alex Matturri, CEO of S&P Dow Jones Indices. S&P DJI and our corporate parent S&P Global are committed to delivering innovative ESG benchmarks, research, data and analytics to help investors identify opportunities and manage risks using an ESG lens.”
Indeed, S&P DJI continues to bring to market innovative index-based ESG solutions globally. For example, this year S&P DJI announced plans to launch an index series aligned with the proposed European Union (EU) Climate Benchmark Regulation. This index concept is designed to enable market participants to capture risks and opportunities as companies transition to a low carbon economy. S&P DJI also continues to collaborate with asset managers and exchange partners in key markets to develop indices used to create ESG-focused index-based investment strategies.