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Trucost Expands Environmental Analysis of Japan’s Listed Companies in Response to Growing Demand

April 11, 2018 |

This press release was originally published on Trucost

“Coverage broadened to more than 1,500 businesses representing 98% of Japan’s market capitalization

TOKYO, APR 10, 2018: Trucost, part of S&P Dow Jones Indices, has expanded its environmental analysis of Japan’s listed companies to more than 1,500 companies. For the first time, investors can assess the carbon emissions, water dependency, waste disposal and other pollution impacts of companies representing 98% of Japan’s market capitalization.

Alex Matturri, CEO, S&P Dow Jones Indices, said, “Over 200 institutional investors have signified their commitment to Japan’s Stewardship Code to promote sustainable growth of companies through investment and dialogue. Trucost’s environmental analysis helps meet market demand for better data disclosure and visibility on how companies are responding to the energy transition, as well as other environmental challenges. The expansion reflects Trucost’s continued commitment to increase transparency and greater market access of ESG data to enable progress towards a sustainable global economy.”

Trucost’s assessment of the environmental disclosures of Japan’s listed companies reveals:

  • 84% of operational carbon emissions are disclosed on the S&P/TOPIX 150 index, versus 65% on the S&P Japan BMI
  • Disclosure rates are higher in large-cap companies with 87% of the 150 companies listed on the S&P/TOPIX 150 index disclosing operational carbon emissions, versus 21% of the 1,669 companies listed on the S&P Japan BMI
  • Disclosure of operational water dependency and waste disposal is lower; only 15% and 17% of companies listed on the S&P Japan BMI disclosed these impacts respectively, representing 44% and 51% of total impact

Richard Mattison, CEO, Trucost said, “Japan has experienced the fastest growth in sustainable investment since the 2015 Paris Agreement. Our analysis shows a disparity in disclosure of environmental performance information between S&P/TOPIX 150 and S&P Japan BMI listed companies, reflecting a significant opportunity to encourage disclosure as part of Trucost’s annual research program. We are steadfast in providing high quality environmental data to support the alignment of capital flows with sustainable outcomes.”

Earlier today at the Responsible Investor Asia Japan 2018 conference in Tokyo, Hiro Mizuno, Executive Managing Director and Chief Investment Officer of GPIF announced that the fund will utilize Trucost data to measure and analyze environmental impacts of its portfolios.

For more information about S&P Dow Jones Indices, please visit…”

Read on at Trucost.

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