The Global Sustainability Signatories Index 7.5% VC ER and Sustainable Development Notes provide exposure to UN Global Compact signatories with higher sustainability ratings
AMSTERDAM, Sept. 10, 2018 /PRNewswire/ -- Sustainalytics, a leading provider of environmental, social and corporate governance ("ESG") research, ratings and analysis, is pleased to announce the launch of the Global Sustainability Signatories Index 7.5% VC ER ("GSSI"). The volatility-controlled equity index is composed of up to 100 Global Compact signatories selected according to Sustainalytics' ESG ratings. UBS is the exclusive provider of financial products referencing the GSSI.
To be eligible for inclusion in the GSSI, companies must be signatories to the UN Global Compact and be compliant with its 10 Principles on human rights, labor, the environment and anti-corruption. Energy and tobacco companies, as well as companies involved in controversies with a high or severe impact on the environment and society, are excluded from consideration.
The final constituents are selected for inclusion based on Sustainalytics' ESG Ratings, which assess companies' programs, policies and management on the key sustainability issues in their respective sectors and regions. From the top quartile companies in each sector and region, up to 100 companies are selected.
Shila Wattamwar, Director of Indexes and Partnerships at Sustainalytics, said: "The GSSI offers global investors exposure to companies that have shown their commitment to the UN Global Compact Principles by becoming signatories. The companies represented in the GSSI have demonstrated strong leadership in their respective industries."
The World Bank (International Bank for Reconstruction and Development, IBRD) has issued a sustainable development note linked to the GSSI. Upon maturity in seven years' time, the World Bank will pay noteholders their principal (subject to the creditworthiness of the issuer) plus any positive return of the GSSI. The offering is available through UBS, the exclusive underwriter.
Michael Nelskyla, Head of Investor Solutions at UBS Investment Bank, said: "We are privileged to work with the World Bank and the UN systems to offer new innovations to support the Sustainable Development Goals. This effort reflects our commitment to be the leading provider of products that help align our client's financial objectives with their priorities to support sustainability. We thank the clients committing capital to this initiative and hope it will encourage others to embrace innovative sustainable instruments in the future."
Mark Haefele, Chief Investment Officer at UBS Global Wealth Management, said: "We are delighted to expand our investing partnership with the World Bank. Our private clients already enjoy unique exposure to the World Bank and to leading sustainable companies through our new 100% sustainable cross-asset portfolio, and we look forward to developing their engagement with the World Bank as one of the few fully sustainable AAA-rated issuers."
The GSSI is maintained and calculated by Solactive. To learn more, please click here.
About Sustainalytics
Sustainalytics is a leading independent ESG and corporate governance research, ratings and analytics firm that supports investors around the world with the development and implementation of responsible investment strategies. For over 25 years, the firm has been at the forefront of developing high-quality, innovative solutions to meet the evolving needs of global investors. Today, Sustainalytics works with hundreds of the world's leading asset managers and pension funds who incorporate ESG and corporate governance information and assessments into their investment processes. With 13 offices globally, Sustainalytics has more than 390 staff members, including over 180 analysts with varied multidisciplinary expertise across more than 40 sectors. Over the last three consecutive years, investors named Sustainalytics among the top three firms for both ESG and corporate governance research in the Independent Research in Responsible Investment Survey. For more information, visit www.sustainalytics.com.
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