MSCI Japan ESG Select Leaders Index
The MSCI Japan ESG Select Leaders Index targets 50% of the free float-adjusted market capitalization of each Global Industry Classification Standard [i](GICS®) Sector and is designed to target companies that have high Environmental, Social and Governance (ESG) performance.
The MSCI Japan ESG Select Leaders Index aims to target sector weights that reflect their relative weightings within the underlying indexes, to limit the systematic risk introduced by the ESG selection process. Overall the index targets coverage of 50% of the underlying MSCI parent index.
The MSCI Japan ESG Select Leaders Index:
- Is constructed using the MSCI Japan IMI Top 500 Index
- Looks at the top 500 Japanese companies by market capitalization
- Targets best ESG performers relative to their sector peers using MSCI’s ESG Ratings and MSCI ESG Controversy Scores
- Leverages our long history in developing ESG Indexes
MSCI is the world’s largest provider of ESG research1 and indexes2 and currently has $58bn3 in assets benchmarked to our ESG index family, which includes more than 700 indexes.
Why are leading pension funds turning to ESG indexes
1 By client coverage based on public information produced by Sustainalytics, Vigeo EIRIS, Trucost, as of February 2016
2 by number of indexes and by assets tracking the indexes compared with publically available information produced by FTSE and S&P Dow Jones
3 as of March 2017 based on Bloomberg, Morningstar and MSCI data. Active AUM includes data as of Dec 31, 2016 reported on March 31, 2017 by eVestment