S&P Dow Jones, RobecoSAM & TSX launch S&P/TSX 60 ESG index

By Tali Rackner

Norfolk, Va., June 16 – S&P Dow Jones Indices, RobecoSAM and the Toronto Stock Exchange announced the launch of the S&P/TSX 60 ESG (Environment, Social and Governance) index, according to a press release.

According to the release, the index is designed to track the performance of the constituent companies of the S&P/TSX 60, Canada’s leading equity benchmark, while taking into account each company’s sustainability performance relative to the corresponding industry-specific standards.

The index is designed for market participants who currently use the S&P/TSX 60 and are looking to deepen the scope of their stock analysis to include sustainability criteria. The construction methodology is based on the S&P/TSX 60, while companies’ sustainability profiles are evaluated using the RobecoSAM Corporate Sustainability Assessment.

Companies are then reweighted according to their sustainability score, meaning those with a higher score are weighted higher in the S&P/TSX 60 ESG index than in the S&P/TSX 60.

“We are excited to expand our ESG offering with the launch of the S&P/TSX 60 ESG index,” S&P Dow Jones managing director of global equity indexes Alka Banerjee said in the release.

“This index provides investors in the Canadian equity market with an objective, investible benchmark against which they can measure their sustainability investment portfolios. With the launch of our latest ESG index, S&P Dow Jones Indices continues to play a leading role in providing investors with the benchmarks needed to gauge the environmental consciousness of some of the world’s most followed companies.”

S&P Dow Jones is part of New York-based McGraw-Hill Cos., a resource for index-based concepts, data and research. RobecoSAM is an investment specialist focused on sustainability investing.

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