2016 Country Sustainability Ranking by RobecoSAM and Robeco. “The country sustainability score is based on 17 environmental, social and governance indicators, which receive a weight of 15%, 25% and 60% of the total score, respectively. The score ranges from 1 to 10 and should be interpreted as a grade, with the highest grade being 10…

Controlled Companies Underperform, Boards Less Diverse New Study Finds. “The study finds that controlled companies generally underperformed non-controlled firms over all periods reviewed in terms of total shareholder returns, revenue growth, and return on equity.” [COMMENTARY] Controlled firms refer to companies controlled by a major stockholder. The study suggests that diversity of boards and ownership provides…

The SEC Turns A Blind Eye On Corruption In CSR Payments. “In its implementation of the Dodd-Frank Wall Street Reform and Consumer Protection Act, the U.S. corporate watchdog recently proposed a new rule to explicitly allow resource extractive businesses to exclude public disclosure of payments made in connection with Corporate Social Responsibility (CSR ) initiatives…

The SEC Isn′t Enforcing Climate Risk Disclosures By Fossil Fuel Companies. “Peabody Energy is not the only fossil fuel company to fail to disclose climate change risks. ExxonMobil, the largest oil and gas company in the U.S., is being investigated by both California and New York for not disclosing climate risks to investors and the…

Investment Managers Raising ESG Offerings To Meet Demand, Study Says. “Over 75 percent of investment managers are increasing their use of environmental, social and governance products and impact investing to meet customer demand, according to a survey released this week by Tiburon Strategic Advisors.” [COMMENTARY] The 75% figure is the highest I’ve seen among such surveys.…

Companies with greater carbon efficiency outperform markets. “According to a new report published by the world′s largest asset manager BlackRock, businesses that have been at the forefront of improving their carbon efficiency for the last three years have dramatically outperformed the ones that have been laggards in this area. The report analyzed the stock market…

Three New Climate Change Index Series Launched by S&P Dow Jones Indices and Toronto Stock Exchange. “S&P Dow Jones Indices (S&P DJI), one of the world’s leading providers of financial market indices, and Toronto Stock Exchange have today announced the launch of three new climate change index series for Canada: S&P/TSX 60 Carbon Efficient Index,…

Major U.S. banks call for leadership in addressing climate change. “Bank of America, Citi, Goldman Sachs, JPMorgan Chase, Morgan Stanley and Wells Fargo – have issued a joint statement calling for cooperation among governments in reaching a global climate agreement. The statement, published today by the sustainability advocacy nonprofit Ceres, voiced support for policy frameworks…

Corporate responsibility efforts boost more than just reputation. “A study by IO Sustainability and Babson College… determined that well-designed CSR programs have the potential to increase a company′s revenues by up to 20 per cent, strengthen customer loyalty by 60 per cent and allow for premium prices to be charged on products and services.” [COMMENTARY] The…

365 Companies and Investors Announce Support for EPA′s Clean Power Plan. “In an unprecedented show of business support for tackling climate change, 365 companies and investors sent letters today to more than two-dozen governors across the United States voicing their support for the Environmental Protection Agency′s Clean Power Plan for existing power plants and encouraging…

China update: central bank’s new green bond market regulations drafted; big banks queuing to issue. “Last week the PBoC′s Regulatory Division circulated internally a draft of its new green bond issuance regulations. Yes, it will be a regulated market in China, right down to definitions of what constitutes “green”. The new regulations will be finalized…

Update, re article below: Cut your portfolio′s risk — and feel good as well. The new, exciting study referred to there is now available here. Did you know that most investors believe that socially responsible investments will result in a similar return as other investments? “In research recently conducted by Spectrem Group, roughly the same…

(1) Risky management. “85 per cent of the world′s largest global asset owners are climate ’laggards’ that have taken little to no action to insulate themselves from the growing risks presented by climate change, says a new report by the Asset Owners Disclosure Project (AODP).” Risky management, April 29, 2015, Corporate Knights, Canada. (2) G20:…

The moral maze: How poor company ethics can cost investors. “The Chartered Institute of Internal Auditors′ study shows that while 91 per cent of the FTSE100 refer in their annual reports to their high standards of business ethics and integrity, only 8 per cent provided a specific metric of their company′s ethical performance.” [COMMENTARY] Most…

IMF working paper finds support for Islamic finance — and resilience in financial panics. “Using data from Pakistan, where Islamic and conventional banks co-exist, this paper compares these banks during a financial panic. The results show that Islamic bank branches are less prone to deposit withdrawals during financial panics, both unconditionally and after controlling for…

Growing ESG Investment Leading to Transformation of Japanese Companies. “Japanese companies are currently experiencing revolutionary upheaval in the field of CSR activities. This social earthquake comes from major changes in the public expectations of companies. Society is urging companies to make clear statements or disclosures of their efforts to create long-term value and sustainable development……

Report: Energy Industry Spent $721 Million on US Midterm Elections. “The American Progress analysis… found that the energy industry as a whole gave $84 million to candidates, political parties and political action committees (PACs), spent $163 million on television ads, and paid nearly $500 million to Washington lobbyists in the two years leading up to…

Emerging Markets Are Leading The Way On Clean Energy Growth. ” Climatescope 2014, looks at what is happening in 55 emerging markets in Africa, Asia, Latin America and the Caribbean. The results suggest renewable technologies can be just a cost competitive solution in developing countries just as they are in the industrialised world.” [COMMENTARY] For…

How solar can become the world′s largest source of electricity. “One, with the right policies in place, solar could be the largest provider of global electricity by 2050…. The second interesting bit is that IEA [International Energy Agency] has gotten much more bullish on PV [photovoltaic], even since May. The agency now sees it providing…