DJSI 2012 Review Results. A cooperation of S&P Dow Jones Indices and SAM

Transcription

1 DJSI 2012 Review Results A cooperation of S&P Dow Jones Indices and SAM

2 Content Key Facts Assessment 2012 Overview of global and regional review results Additional Resources 1

3 Key Facts SAM Indexes Cooperation between SAM and S&P Dow Jones Indices for the publication and licensing of the Dow Jones Sustainability Indexes (DJSI). Launched in 1999, the DJSI are the first global indexes tracking the financial performance of the leading sustainability-driven companies worldwide. Broad family of global, regional and country DJSI benchmarks. 6 billion USD in DJSI-based investment vehicles including mutual funds, separate accounts, notes, as well as exchange traded funds (ETF), in 15 countries worldwide. Local partnership with Korea Productivity Centre (KPC). 2

4 Key Facts Dow Jones Sustainability Indexes (DJSI) Overview Integrated assessment of economic, environmental and social criteria with a strong focus on long-term shareholder value. Consistent rules-based methodology, primary research (direct contact to companies). Focus on best-in-class companies. Yearly review and continuous monitoring of companies. Assurance of the assessment process by Deloitte. 3

5 Assessment 2012 DJSI Assessment Universe 2012 Number of invited companies Total number of invited companies = 3,208 DJSI World Universe = 2,500 DJSI Europe Universe = 600 DJSI North America Universe = 600 DJSI Asia Pacific = 600 DJSI Korea = 200 Number of assessed companies Total number of companies analyzed = 1,544 Completed questionnaires = 790 Completed assessments based exclusively on public information = 754 5

6 Assessment Criteria Changes (1) Criteria Key changes compared to 2011 Supply Chain Management Social / Environmental Reporting For the 2012 assessment, SAM made a complete review of the criterion Standards for Suppliers and based on this review the new criterion Supply Chain Management was developed. The rationale for the new criteria is that companies are not only outsourcing production, services and business processes but also corporate responsibilities and reputational risks. This means that the risks and opportunities associated with the supply chain need to be managed carefully. The new framework consists of four major parts: supply chain awareness and risk exposure, risk management, sustainability strategy and opportunities in the supply chain and transparency with regards to supply chain risks and performance. In 2012, for the first time, SAM has opened up part of the reporting criteria for company input in order to be able to assess reporting on materiality analysis as well as links between companies sustainability initiatives and their financial performance in a more comprehensive manner. At the same time, the focus on integrated reporting remains, as the questions are looking for reporting both in the Annual Report and in the Sustainability Report. Specifically, the new questions focus on reporting on frameworks for materiality analysis as well as specific examples relating to sustainability initiatives leading to cost savings and revenue generation for the company. 6

7 Assessment Criteria Changes (2) Criteria Key changes compared to 2011 Labor Practice Indicators & Human Rights Labor Practice Indicators & Human Rights Various sector specific criteria SAM believes that companies that have a long-term commitment to equal gender opportunities reap the benefits by turning the resulting senior management diversity into a competitive advantage. In this year s assessment, the approach was refined and updated by looking at two main indicators for gender equality: retention of female talent and equal remuneration. In light of the UN Framework and Guiding Principles on Business and Human Rights ( the Ruggie framework ) which was endorsed by the UN Human Rights Council in June 2011, SAM introduced a new question on the topic. The question assesses the degree of awareness and adoption of the Ruggie Framework. In addition to the changes to the general criteria described above, a set of sector specific and cross-industry criteria were introduced or significantly improved. These criteria include Strategy for Emerging Markets (for selected industrial sectors), Antitrust Policy (across several sectors), Fleet Management (airlines), Online Risks & Opportunities (media), Human Rights freedom of expression & privacy (selected technology sectors) and Innovation Management (healthcare). 7

8 Assessment Global Supersector Leaders (1) NAME Bayerische Motoren Werke AG Australia & New Zealand Banking Group Ltd UPM-Kymmene OYJ Akzo Nobel NV GS Engineering & Construction Corp Itausa - Investimentos Itau SA Unilever NV Roche Holding AG Siemens AG COUNTRY Germany Australia Finland Netherlands South Korea Brazil Netherlands Switzerland Germany SUPERSECTOR Automobiles & Parts Banks Basic Resources Chemicals Construction & Materials Financial Services Food & Beverage Healthcare Industrial Goods & Services 8 Effective as of September 24, 2012

9 Assessment Global Supersector Leaders (2) NAME Swiss Re AG Telenet Group Holding NV Repsol SA Koninklijke Philips Electronics NV GPT Group Lotte Shopping Co Ltd Alcatel-Lucent SA KT Corp Air France-KLM Iberdrola SA COUNTRY Switzerland Netherlands Spain Netherlands Australia South Korea France South Korea France Spain SUPERSECTOR Insurance Media Oil & Gas Personal & Household Real Estate Retail Technology Telecommunications Travel & Leisure Utilities 9 Effective as of September 24, 2012

10 Assessment 2012 DJSI Index Range Index Components Weighted by Free-float market cap Sustainability Score DJSI World 340 DJSI World Enlarged 592 DJSI World ex US 278 DJSI World DJSI World ex US DJSI Europe 166 DJSI Eurozone 96 DJSI Europe DJSI Eurozone DJSI North America 140 DJSI 117 DJSI North America DJSI DJSI Asia Pacific 154 DJSI Asia Pacific DJSI Japan DJSI Korea 52 DJSI Korea Effective as of September 24, 2012

11 DJSI World Index Range DJSI World DJSI World ex Tobacco DJSI World ex Gambling DJSI World ex Alcohol, Tobacco, Gambling, Armaments & Firearms DJSI World ex Alcohol, Tobacco, Gambling, Armaments & Firearms, Adult Entertainment DJSI World 80 DJSI World ex US Components 338 Components 325 Components 305 Components 296 Components 80 Components 80 Components 11 Effective as of September 24, 2012

12 DJSI World Largest Additions & Deletions Largest 10 Additions (Listed by descending Free Float Market Capitalization) Largest 10 Deletions (Listed by descending Free Float Market Capitalization) NAME COUNTRY SUPERSECTOR NAME COUNTRY SUPERSECTOR Microsoft Corp Canadian National Railway Co Target Corp Hennes & Mauritz AB Canada Sweden Technology Industrial Goods/Svc Retail Retail International Business Machines Corp GlaxoSmithKline PLC United Technologies Corp Telefonica SA United Kingdom Spain Technology Health Care Industrial Goods/Svc Telecommunications Hewlett-Packard Co Technology Duke Energy Corp Utilities Enbridge Inc Canada Oil & Gas UBS AG Switzerland Banks Linde AG Germany Chemicals ING Groep NV Netherlands Insurance Cenovus Energy Inc Canada Oil & Gas Mitsubishi Corp Japan Industrial Goods/Svc Baker Hughes Inc Oil & Gas Societe Generale SA France Banks Ecolab Inc Industrial Goods/Svc Dell Inc Technology 12 Values as of August 31, 2012

13 DJSI World Selection DJSI World 2,500 largest companies of the Dow Jones Total Global Stock Market Index 58 DJSI Sectors 52 Countries Selection of top 10% in terms of Sustainability in each sector 15% target market cap coverage in each supersector 340 Components 58 DJSI Sectors 30 Countries Review 2012: 41 ADD / 41 DEL 13 Effective as of September 24, 2012

14 DJSI World Performance Since Launch, 08/99 08/12 (EUR, Total Return) 140 Dow Jones Sustainability World Index (in EUR, TR) MSCI World (in EUR, TR) Aug-99 Oct-01 Dec-03 Feb-06 Apr-08 Jun-10 Aug-12 14

15 DJSI Europe Index Range Dow Jones Sustainability Europe Index (DJSI Europe) DJSI Europe ex Alcohol, Tobacco, Gambling, Armaments & Firearms DJSI Europe ex Alcohol, Tobacco, Gambling, Armaments & Firearms, Adult Entertainment DJSI Europe 40 Dow Jones Sustainability Eurozone Index (DJSI Eurozone) DJSI Eurozone ex Alcohol, Tobacco, Gambling, Armaments & Firearms DJSI Eurozone ex Alcohol, Tobacco, Gambling, Armaments & Firearms, Adult Entert. DJSI Eurozone Components 145 Components 139 Components 40 Components 96 Components 84 Components 80 Components 40 Components 15 Effective as of September 24, 2012

16 DJSI Europe Largest Additions & Deletions Largest 10 Additions (Listed by descending Free Float Market Capitalization) Largest 10 Deletions (Listed by descending Free Float Market Capitalization) NAME COUNTRY SUPERSECTOR NAME COUNTRY SUPERSECTOR BG Group PLC United Kingdom Oil & Gas HSBC Holdings PLC United Kingdom Banks Linde AG BAE Systems PLC Germany United Kingdom Chemicals Industrial Goods/Svc E.ON AG LVMH Moet Hennessy Louis Vuitton SA Germany France Utilities Personal & Household Goods ArcelorMittal Luxembourg Basic Resources TESCO PLC United Kingdom Retail Koninklijke Ahold NV Netherlands Retail Syngenta AG Switzerland Chemicals Telenor ASA Swisscom AG Aegon NV Norway Switzerland Netherlands Telecommunications Telecommunications Insurance L'Oreal SA Societe Generale SA RWE AG France France Germany Personal & Household Goods Banks Utilities Amadeus IT Holding SA Spain Industrial Goods/Svc Deutsche Post AG Germany Industrial Goods/Svc UPM-Kymmene OYJ Finland Basic Resources Sandvik AB Sweden Industrial Goods/Svc 16 Values as of August 31, 2012

17 DJSI Europe Selection DJSI Europe 600 largest European companies of the Dow Jones Total Global Stock Market Index 54 DJSI Sectors 16 Countries Selection of top 20% in terms of Sustainability in each sector 45% target market cap coverage in each supersector 166 Components 50 DJSI Sectors 16 Countries Review 2012: 17 ADD / 23 DEL 17 Effective as of September 24, 2012

18 DJSI Europe - Performance 01/06 08/12 (EUR, Total Return)* 140 Dow Jones Sustainability Europe Index (EUR, TR) DJ STOXX 600 (EUR, TR) Jan-06 Feb-07 Mar-08 Apr-09 May-10 Jun-11 Jul * Based on backtracking data

19 DJSI Asia/Pacific Index Range DJSI Asia Pacific DJSI Asia Pacific ex Alcohol, Tobacco, Gambling, Armaments & Firearms DJSI Asia Pacific 40 DJSI Japan Components 138 Components 40 Components 40 Components 19 Effective as of September 24, 2012

20 DJSI Asia/Pacific Largest Additions & Deletions Largest 10 Additions (Listed by descending Free Float Market Capitalization) Largest 10 Deletions (Listed by descending Free Float Market Capitalization) NAME COUNTRY SUPERSECTOR NAME COUNTRY SUPERSECTOR Kirin Holdings Co Ltd Japan Food & Beverage Mitsubishi Corp Japan Industrial Goods/Svc Power Assets Holdings Ltd Hong Kong Utilities CSL Ltd Australia Health Care China Steel Corp Nitto Denko Corp Samsung Life Insurance Co Ltd Incitec Pivot Ltd Sysmex Corp JSR Corp Taiwan Japan South Korea Australia Japan Japan Basic Resources Chemicals Insurance Chemicals Health Care Chemicals Newcrest Mining Ltd ITOCHU Corp AMP Ltd Nippon Steel Corp Sumitomo Electric Industries Ltd T&D Holdings Inc Kuraray Co Ltd Australia Japan Australia Japan Japan Japan Japan Basic Resources Industrial Goods/Svc Insurance Basic Resources Automobiles & Parts Insurance Chemicals Kajima Corp Japan Construction & Materials Personal & Household Tokyu Land Corp Japan Real Estate Sekisui Chemical Co Ltd Japan Goods 20 Values as of August 31, 2012

21 DJSI Asia/Pacific Selection DJSI Asia Pacific 600 largest companies from the developed Asia Pacific* countries 56 DJSI Sectors 7 Countries Selection of top 20% in terms of Sustainability in each sector 45% target market cap coverage in each supersector 154 Components DJSI Sectors 44 Countries Review 2012: 14 ADD / 15 DEL 21 * 600 largest companies from Australia, Hong Kong, Japan, New Zealand, Singapore, South Korea and Taiwan Effective as of September 24, 2012

22 DJSI Asia/Pacific Performance Since Launch, 01/09 08/12 (USD, Total Return) 180 DJSI Asia/Pacific Total Return (USD) MSCI Asia Pacific Jan-09 Mar-10 May-11 Jul-12 22

23 DJSI North America Index Range DJSI North America DJSI North America ex Alcohol, Tobacco, Gambling, Armaments & Firearms DJSI North America 40 DJSI DJSI ex Alcohol, Tobacco, Gambling, Armaments & Firearms DJSI Components 130 Components 40 Components 117 Components 107 Components 40 Components 23 Effective as of September 24, 2012

24 DJSI North America Largest Additions & Deletions Largest 10 Additions (Listed by descending Free Float Market Capitalization) Largest 10 Deletions (Listed by descending Free Float Market Capitalization) NAME COUNTRY SUPERSECTOR NAME COUNTRY SUPERSECTOR ExxonMobil Corp Oil & Gas Verizon Communications Inc Telecommunications Microsoft Corp Technology Time Warner Inc Media Personal & Potash Corp of Altria Group Inc EI du Pont de Nemours & Co Goldcorp Inc Enbridge Inc Ecolab Inc TE Connectivity Ltd Waste Management Inc Canada Canada Household Goods Chemicals Basic Resources Oil & Gas Industrial Goods/Svc Industrial Goods/Svc Industrial Goods/Svc Saskatchewan Inc Freeport-McMoRan Copper & Gold Inc TransCanada Corp Bank of New York Mellon Corp Allergan Inc Consolidated Edison Inc Dell Inc Canada Canada Chemicals Basic Resources Oil & Gas Financial Services Health Care Utilities Technology Liberty Global Inc Media Intuit Inc Technology 24 Values as of August 31, 2012

25 DJSI North America Selection DJSI North America 600 largest North American companies* of the Dow Jones Total Global Stock Market Index 55 Sectors 2 Countries Selection of top 20% in terms of Sustainability in each sector 45% target market cap coverage in each supersector 140 Components 49 DJSI Sectors Review 2012: 17 ADD / 16 DEL 25 * 600 largest companies from Canada and the Effective as of September 24, 2012

26 DJSI North America Performance Since Launch, 09/05 08/12 (USD, Total Return) DJSI North America (TR, USD) DJTSM US LrgTr (TR, USD) 40 Sep-05 Jun-06 Mar-07 Dec-07 Sep-08 Jun-09 Mar-10 Dec-10 Sep-11 Jun-12 26

27 DJSI Korea Index Range DJSI Korea DJSI Korea Components 20 Components 27 Effective as of September 24, 2012

28 DJSI Korea Largest Additions & Deletions Largest 3 Additions (Listed by descending Free Float Market Capitalization) Largest 3 Deletions (Listed by descending Free Float Market Capitalization) NAME COUNTRY SUPERSECTOR NAME COUNTRY SUPERSECTOR Samsung Life Insurance Co Ltd South Korea Insurance Daishin Securities Co Ltd South Korea Financial Services Construction & Woongjin Thinkbig Co Ltd South Korea Media KCC Corp South Korea Materials Construction & Hanjin Shipping Co Ltd South Korea Industrial Goods/Svc Asia Cement Co Ltd South Korea Materials 28 *Market Capitalization taken as of August 31, 2012

29 DJSI Korea Selection DJSI Korea 200 largest Korean companies of the Dow Jones Total Global Stock Market Index 44 DJSI Sectors Selection of top 30% in terms of Sustainability in each sector 50% target market cap coverage in each supersector 52 Components 27 DJSI Sectors Review 2012: 3 ADD / 3 DEL 29 Effective as of September 24, 2012

30 DJSI Korea Performance Since Launch, 10/09 08/12 (KRW, Total Return) DJSI Korea Total Return (KRW) DJ Korea TSM Total Return (KRW) Dec-05 Jan-07 Feb-08 Mar-09 Apr-10 May-11 Jun-12 30

31 Australian SAM Sustainability Index (AuSSI) Largest Additions & Deletions Largest 3 Additions (Listed by descending Free Float Market Capitalization) Largest 3 Deletions (Listed by descending Free Float Market Capitalization) NAME Iluka Resources Ltd Metcash Ltd COUNTRY Australia Australia SUPERSECTOR Basic Resources Retail NAME National Australia Bank Ltd WorleyParsons Ltd COUNTRY Australia Australia SUPERSECTOR Banks Oil & Gas PanAust Ltd Australia Basic Resources Cochlear Ltd Australia Health Care 31 Values as of August 31, 2012

32 AuSSI Selection AuSSI 200 largest Australian companies of the Dow Jones Total Global Stock Market Index 20 AuSSI Sectors Selection of top 30% in terms of Sustainability in each sector 50% target market cap coverage in each supersector 59 Components 19 AuSSI Sectors Review 2012: 4 ADD / 15 DEL 32 Effective as of September 24, 2012

33 AuSSI Performance Since Launch, 17/02/05 08/12 (AUD, Total Return) AuSSI Total Return (AUD) ASX 200 Total Return (AUD) Feb- 05 Sep- 05 Apr- 06 Nov- 06 Jun- 07 Jan- 08 Aug- 08 Mar- 09 Oct- 09 May- 10 Dec- 10 Jul- 11 Feb- 12 Sep

34 Additional Resources DJSI 2012 DJSI Licensees can access a full component list at: Companies who would like further information on the Corporate Sustainability Assessment (CSA) can find more details at: Further information about the 2012 DJSI Review: 34

35 Additional Resources Contact Details SAM Sustainable Asset Management AG Josefstrasse Zurich Switzerland Phone: Fax: