Barbara Velado
Senior Analyst, Research & Design, Sustainability Indices, S&P Dow Jones Indices
International Women’s Day Embraces Equity
March 8th marks International Women’s Day, an event that honors and celebrates women worldwide and that has been observed for over a century. This year’s theme is Embracing Equity, and it highlights the fundamental difference between equality and equity. While these words are often used interchangeably, the former means giving everyone equal opportunities, while the…
Net-Zero Targets and Temperature Alignment: Two Sides of the Same Coin?
For many people, a new year represents a chance to set new objectives and to tick (or scrap) the previous year’s list of resolutions. Whether this objective-setting exercise works is debatable. A similar phenomenon might be observed within companies. Scientific consensus maintains that net-zero emissions should be reached by 2050 if the world is to…
Reversing the Entropy of Climate Change
According to the second law of thermodynamics, the state of disorder or chaos of a system, also known as entropy, increases over time, defining the so-called arrow of time. Applying this analogy to Earth, is the world headed into chaos as climate change unfolds? Not necessarily. Just as entropy can decrease if useful work is…
Minimizing Carbon Intensity with the S&P Carbon Control Indices
When it comes to climate change, one of the most effective mitigation options is to decarbonize the economy.1 Not only does the world need to rethink energy systems, transport technologies and materials production processes, but also the role of capital in financing the low-carbon transition. Low-carbon indices offer market participants an efficient way of managing…
Data Driving the Weights within the S&P 500 Net Zero 2050 Paris-Aligned ESG Index
The World Meteorological Organization estimates that there is a 50% chance that global warming will exceed 1.5°C before 2026.1 The International Panel on Climate Change has warned that time is running out—climate change is no longer a problem for the future, and its associated physical risks are materializing more evidently.2 The world may need to…
ESG in Australian Strategies: How Does It Look?
The world of sustainable investing, better known for incorporating environmental, social and governance (ESG) criteria into what was before mostly financially driven investment decision-making, seems to be here to stay. As ESG index investing continues to evolve, so does our suite of ESG indices—expanding both in terms of methodologies and regions covered. Australia is no…
- Categories ESG, Thematics
- Tags Australia, Australia FA, carbon control, climate, Climate Transition, Dow Jones Global Select ESG RESI, ESG, green real estate, S&P Developed Ex-Australia LargeMidCap Carbon Control Index, S&P Emerging LargeMidCap Carbon Control Index, S&P ESG Indices, S&P PACT Indices, S&P/ASX 200 ESG Index
How Does the S&P Europe 350 ESG Index Work?
Launched in 2019, the S&P Europe 350® ESG Index is designed to represent a broad-based, sustainable European benchmark. The index looks to provide an efficient tool for those aiming to focus on the European market, while aligning investments with ESG principles. Here, we dive into how the index achieves this—and why index design matters. How…
An ESG Solution for Varying Objectives: S&P 500 ESG-Based Indices
When it comes to ESG indices, different objectives require different solutions. Indices can range from simple to sophisticated, concentrated to benchmark-like, broad environmental, social and governance to climate-focused, and more. Our growing suite of ESG indices aims to serve a wide range of ESG needs and support the alignment of investments with ESG principles. When…
Resilience to Rising Carbon Prices: Do Eurozone S&P PACT Indices Stand the Test?
“Code red for humanity.” That’s how the imminent effects of climate change were described by the UN.1 Human-induced global warming stands at 1.1°C above pre-industrial levels, and will likely reach more than 2.7°C by 2100.2 If the world is to achieve the goals of the Paris Agreement and limit global warming to 1.5°C, decarbonization is…
S&P PACT Indices Sector Weight Explanation in Europe and the Eurozone
In April 2020, we launched the S&P PACTTM (Paris-Aligned Climate Transition) Indices. The indices aim to align with a 1.5oC climate scenario, the EU’s minimum standards for EU Climate Transition Benchmarks and EU Paris-Aligned Benchmarks, and the recommendations of the Task Force on Climate-related Financial Disclosures (TCFD), while maintaining a broad, diversified exposure. The S&P…