S&P Dow Jones Indices

About S&P Dow Jones Indices

• The index comprises global sustainability leaders as identified by S&P Global through its Corporate Sustainability Assessment (CSA). 
• It represents the top 10% of the largest 2,500 companies in the S&P Global Broad Market Index (BMI) based on long-term economic, environmental and social criteria.

What is the Corporate Sustainability Assessment?

• It was founded in 1999 and serves as the foundation for the S&P Dow Jones Sustainability Index.

• It is now also the basis for many other Environment, Social responsibility, and (Corporate) Governance indices.

• According to S&P Global, S&P acquired the CSA in 2019, which included the transition of the related ESG ratings and ESG benchmarking teams that now operate out of S&P Global Switzerland.

• It compares companies across 61 industries via questionnaires assessing a mix of 80-100 cross-industry and industry-specific questions. 
• Based on their performance, companies receive scores ranging from 0 to 100.
• The percentile rankings for approximately 20 financially relevant sustainability criteria across economic, environmental and social dimensions.

 

---

Q1) What is corporate sustainability?

Corporate sustainability is about more than just protecting the environment, although that is core to this approach. A sustainable business works in step with societal and environmental goals, rather than at odds with them.

Source:  S&P Dow Jones Indices will remove Adani Enterprises from its sustainability indices. What does this mean?