ABSTRACT

The problem for an index provider has been breaking down the concept of superior long-term-oriented management into objective, measurable, quantifiable facts that can be translated into a transparent benchmark that really does measure what it is supposed to measure. The recently reviewed Dow Jones Sustainability Group Indexes (DJSGI) provide a bridge between companies implementing corporate sustainability and investors wishing to profit from their superior performance and favourable risk–return profiles. The DJSGI addresses increasing investor interest in companies committed to the elements of corporate sustainability. Corporate sustainability has long been very attractive to investors because of its aim of increasing long-term shareholder value. A key principle of corporate sustainability is product and service innovation. Corporate sustainability leaders are committed to investing in product and service innovation that focus on technologies and systems, which use financial, natural and social resources in an efficient, effective and economic manner over the long term.