CRD Analytics Home > Indexes > GSI 50Global Sustainability Index (GSI) 50
Introduction:
Global 2000 companies are under pressure to report the environmental and social impact of their business operations based on standards that are emerging from the United Nations Environmental Programme Finance Initiative, United Nations Global Impact, Global Reporting Initiative, U.S. Climate Action Partnership (USCAP) and Carbon Disclosure Project. Institutional and individual investors are demanding full transparency so they can accurately access and interpret companies' environmental and social profiles in order to make informed investment decisions. The Global Sustainability Index (GSI) 50 Index was developed specifically to capitalize on these emerging trends.
Methodology:
The GSI 50 was created by screening G2000 companies whose disclosure and sustainability practices correlate to investor transparency and long-term financial performance. The GSI 50 was created using CRD Analytics' "triple bottom line", a set of financial performance, environmental and social key performance indicators. CRD Analytics is the first to offer a global sustainability index based on GRI G3 guidelines combined with best in class quantitative performance metrics.
Our "triple bottom line" index construction approach enables us to build equity portfolios based on the following elements:
Key Financial Performance Indicators (KPIs) - Such as fundamentals, valuation, growth rates, profit margins, etc.
Environmental Performance Indicators* (EPIs) - Such as green house gas emissions, energy usage, water usage, waste production, etc.
Social Performance Indicators* (SPIs) - Such as supplier screening, workforce diversity, employee training, and safety measures, etc.
*Based on G3 Sustainability Reporting Guidelines as defined by the Global Reporting Initiative (GRI)
Performance Relative to Peer Indexes:
|
