/SUSTAINABILITY DEVELOPMENT
/INDICES
Sustainable development indices
Sustainable development indices are financial indicators allowing the economic performance of the leading companies in terms of sustainable management to be assessed.
There are a number of indices that assess companies’ commitments in terms of corporate sustainability.
The Dow Jones Sustainability Indexes (DJSI) was the first indicator. It is formulated to identify a company’s capacity to create long-term value for shareholders through sustainable management. The Dow Jones Sustainability Indexes (DJSI) are, in fact, a number of indices that measure the performance of the leading companies in terms of corporate sustainability. All of the companies are assessed using the same methodology and criteria, regardless of their economic sector. In December 2007, the companies listed in the DJSI Stoxx 600 were equivalent in worth to EUR 7,011 billion.
The FTSE4GOOD index is designed to assess the financial performance of companies implementing globally recognised corporate responsibility standards, thus facilitating the decision-making process of potential investors.
This index performs a periodic review of the inclusion criteria for socially responsible companies, so that the index continues to reflect market expectations and is in harmony with the most recent opinions on corporate social responsibility. Sustainably managed companies are deemed to be those working towards environmental sustainability, and which protect and advocate human rights and maintain positive relations with their stakeholders.
LINKS
- DJSI Website: http://www.sustainability-indexes.com
- FTSE4GOOD Website: http://www.ftse.com