Tag Archives: carbon intensity
Bricks of Transition
The world is undergoing significant changes as it navigates the energy transition, marking a shift toward innovative and more efficient energy sources. In this evolving context, indices can play a crucial role by offering diverse measurements that represent various facets of the energy transition.1 Buildings, which account for a substantial portion of global energy consumption…
- Categories Sustainability, Thematics
- Other Tags
Tilting toward Climate Resilience
In a previous blog, we delved into the S&P Global Sustainable1 Climate Action Framework, a powerful tool designed to gauge companies’ readiness for the low-carbon transition across three key pillars: Climate Governance and Strategy, Physical Risk Adaptation Strategy, and Climate Risk Mitigation and Alignment. In this blog, we introduce the recently launched S&P World Climate…
- Categories Sustainability
- Other Tags
Carbon Intensity in the Middle East – An Index Perspective
In December 2023, the COP28 UN Climate Change Conference was hosted in Dubai, once again putting the spotlight on global climate change action and handing the Middle East hosting responsibilities. Describing the current period as “the beginning of the end” of the fossil fuel era,1 this iteration of COP not only gave us the first…
- Categories Sustainability
- Other Tags
- Categories
- Sustainability
- Other Tags
Where Shariah Meets ESG
There are parallels between Shariah and ESG principles, such as being a good steward to society and the environment. Having such overlapping and complementary principles has led to their natural pairing and a growing traction for ESG Shariah solutions around the globe. However, there is something that may be unexpected about these indices: even though…
- Categories Sustainability, Thematics
- Other Tags
The Ethics of Artificial Intelligence
The ever-evolving artificial intelligence (AI) landscape has generated excitement, interest and investment; it has also triggered important questions regarding AI’s impact on businesses, on investment portfolios, on society and on the environment. When factoring in elements such as the high energy requirements of training large language models (LLMs), direct and indirect emissions and the diversity…
- Categories Thematics
- Other Tags
Where’s Your Carbon Gone? How the S&P PACT Indices Decarbonize
As the world aims to decarbonize toward a net zero future, the importance of tracking the carbon footprint of portfolios is becoming a primary focus for many investors; specifically, to measure and understand whether portfolios emulate the emission reduction targets needed globally to help mitigate the impacts of climate change. For investors, tracking an EU…
- Categories Sustainability
- Other Tags
S&P 500 Decarbonization: Drawing the Path to Net Zero
As reported in S&P DJI’s Climate and ESG Index Dashboard, climate indices can include both absolute and benchmark-relative goals. Absolute goals could include, for example, a certain target level of weighted average emissions among index constituents, while a relative goal might insist on an improvement in comparison to a benchmark such as the S&P 500®….
- Categories Sustainability
- Other Tags
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…
- Categories Sustainability
- Other Tags
Schrödinger’s Carbon: Intensity and Paris Alignment
In quantum mechanics, Schrödinger’s Cat refers to the paradoxical consequences of a thought experiment: can a cat be simultaneously dead and alive? A similarly counterintuitive phenomenon can be found in the context of climate-based analysis: whereby an index may boast a relatively low carbon intensity and yet, perhaps surprisingly, not be judged as aligned with…
- Categories Sustainability, Thematics
- Other Tags
- Categories
- Sustainability, Thematics
- Other Tags
How Efficient Is the S&P/KRX Carbon Efficient Capped Index?
Following the South Korean government’s announcement of the Green New Deal in the summer of 2020, S&P Dow Jones Indices and the Korea Exchange (KRX) partnered to launch the S&P/KRX Carbon Efficient Capped Index on Nov. 16, 2020. The S&P/KRX Carbon Efficient Capped Index seeks to provide exposure to the Korean equities market, while also…
- Categories Sustainability, Thematics
- Other Tags