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The Second Friendly Index In Asia

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The Second Friendly Index In Asia
The Indonesian stock exchange and a biodiversity foundation have launched an investment index to raise awareness of companies' environmental track records, an environmental group said. The Sri-Kehati index, which lists 25 companies, is the second single-nation sustainability index in Asia after Japan, according to the Indonesian Biodiversity Foundation. The Sustainable and Responsible Investment (SRI) index, launched on Monday, includes a palm oil firm, three miners and two cement companies in Indonesia, which is widely considered the world's third-highest carbon emitter. "The index is created as a parameter so investors can invest their funds in companies that show awareness of the environment and community," The foundation's investment specialist Sani Burhanuddin said. "We hope that investors won't only focus their attention (on the) financial aspect, but also take fundamental aspects into consideration for their medium- and long-term investments." The companies are judged on six areas, which are the environment, community involvement, good corporate governance, respect for human rights, business behavior and labor practices. Source : Channel NewsAsia

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Andrea Hirata

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