Image via WikipediaStock exchanges in China are taking corporate sustainability more seriously than ever before.
Hang Seng Corporate Sustainability Index Series Expands with Two New Benchmark Indexes
Hang Seng Indexes Company Limited announced on August 3rd, 2011, that it will expand the Hang Seng Corporate Sustainability Index Series by adding two new benchmark indexes: the Hang Seng Corporate Sustainability Benchmark Index (“HSSUSB”) and the Hang Seng (China A) Corporate Sustainability Benchmark Index (“HSCASUSB”).
The new indexes are designed to enlarge the constituent base of the index series to include more MidCap and SmallCap companies that have strong sustainability performance.
The existing three tradable indexes will continue to facilitate investable product development.
The Hang Seng Corporate Sustainability Index Series was launched on July 7th, 2010, and it is the first index series of its kind to focus exclusively on Hong Kong and mainland China. It originally comprises of three indexes - The Hang Seng Corporate Sustainability Index, the Hang Seng (China A) Corporate Sustainability Index and the Hang Seng (Mainland and HK) Corporate Sustainability Index. The aims of the index series are to further raise awareness about corporate sustainability (which encompasses environmental, social and corporate governance performance) and serve increasing international interest in sustainable investment.
Shanghai Stock Exchange is co-organizing a conference named Why Listed Companies Should Release Their Sustainability Reports? with Global Reporting Initiative
The conference will be held on September 20th, 2011 in Beijing and it is aimed at top management from the corporate world. The Shanghai Stock Exchange has been considering the launch of a Corporate Social Responsibility Index since 2008, as reported by CCTV, to raise the overall CSR performance of corporations in China.
Early in 2006, with the launch of the Guidelines on CSR for Companies Listed in Shenzhen Stock Exchange and the launch of the Guidelines on Environmental Information Disclosure for Companies Listed in Shanghai Stock Exchange in 2008, stock exchanges have been playing a significant role in promoting the awareness of corporate social responsibility and sustainability development in China. The hope is that in the near future, stock exchanges in China will be able to expand from awareness and promotion to leadership in the development of socially responsible investment.