FTSE4Good Index Series

The FTSE4Good Index Series is designed to measure the performance of companies demonstrating strong Environmental, Social and Governance (ESG) practices. Transparent management and clearly-defined ESG criteria make FTSE4Good indexes suitable tools to be used by a wide variety of market participants when creating or assessing sustainable investment products. FTSE4Good indexes can be used in four main ways:

  • Financial products - as tools in the creation of index-tracking investments, financial instruments or fund products focused on sustainable investment.
  • Research - to identify environmentally and socially sustainable companies.
  • Reference - as a transparent and evolving global ESG standard against which companies can assess their progress and achievement.
  • Benchmarking - as a benchmark index to track the performance of sustainable investment portfolios.

Other ESG-focused indexes

FTSE4Good RAFI Indexes

The FTSE4Good RAFI Indexes have been designed to measure the performance of companies demonstrating strong Environmental, Social and Governance (ESG) practices. The FTSE4Good RAFI Indexes utilise existing FTSE RAFI Indexes and overlay the transparent and clearly-defined ESG criteria used in the FTSE4Good Index Series. The indexes can be used by a wide variety of market participants when creating sustainable investment products.

FTSE4Good Emerging Indexes

The FTSE4Good Index Series is a series of benchmark and tradable indexes for ESG (Environmental, Social and Governance) investors, which was launched in 2001. The FTSE4Good criteria is applied to the FTSE Emerging Indexes, which covers over 20 emerging countries, and was launched in 2016.

FTSE4Good ASEAN 5 Index

The FTSE4Good ASEAN 5 Index constituents are selected and screened in accordance with transparent and defined Environmental, Social and Governance (ESG) criteria. The index has been designed to identify companies with recognised corporate responsibility practices, listed on the leading ASEAN financial markets: Bursa Malaysia, Indonesia Stock Exchange (IDX), The Philippine Exchange, Singapore Exchange (SGX), and The Stock Exchange of Thailand.

FTSE4Good IBEX Index

FTSE Group has partnered with Bolsas y Mercados Españoles (BME) to create the FTSE4Good IBEX Index. Constituents comprise companies in the BME's IBEX 35 Index and the FTSE Spain All Cap Index that meet the FTSE4Good Index Series eligibility criteria. An overview of the FTSE4Good IBEX Index inclusion criteria is provided below.

FTSE4Good Developed Minimum Variance Index

FTSE4Good Developed Minimum Variance Index. FTSE's Developed Minimum Variance indexes aim to achieve reduced index volatility based on historical return information. The series is designed to reflect market participants' desire for an index that offers potential improvements to the risk reward ratio, whilst maintaining full allocation to the relevant equity market. See here for more information.

FTSE4Good Bursa Malaysia Index

The FTSE4Good Bursa Malaysia Index constituents are selected from the constituents of the FTSE Bursa Malaysia EMAS Index, screened in accordance with the transparent and defined Environmental, Social and Governance (ESG) criteria. The index has been designed to identify Malaysian companies with recognised corporate responsibility practices, expanding the range of the benchmarks of the FTSE Bursa Malaysia Index Series for the Malaysian Markets.

FTSE4Good TIP Taiwan ESG Index

FTSE Russell has partnered with Taiwan Index Plus (TIP) Corporation on the FTSE4Good TIP Taiwan ESG Index. Taiwan Index Plus Corporation is a subsidiary of the Taiwan Stock Exchange (TWSE). The index is designed to measure the performance of companies on the Taiwan Stock Exchange that meet the globally recognised ESG inclusion standards used by the FTSE4Good Index Series.

The indexes described above are suitable for benchmarking purposes and can be used as tools in the creation of financial products, such as institutional and retail funds, exchange traded funds (ETFs) and derivatives.