New opportunity of social responsibility investment – experts lecturing on sustainability series index
Social Responsible Investment (SRI) has been one of the important mainstream trends concerned by institutional investors around the globe and the world had invested around 22.8 billion US dollars by the end of 2016. Taiwan’s native Taiwan Sustainability Index (TWNSI) went online formally on Reuters and Bloomberg on January 19, 2019 through calculation and help of the world-famous provider of financial indexes Solactive. This opened a new page in Taiwan’s SRI.
Director Chang Chan, main person responsible for compilation of TWNSI, expressed that SRI in Asian countries excluding Japan only accounts for 0.2% in the world and that emphasis on social responsibility investment is the goal Taiwan society is striving for and this evidently shows that SRI represents the business opportunities in the future financial markets. Director Chan pointed out that TWNSI screened and selected constituent stocks from the sustainability aspect to effectively lower investment risks and increase return on investment. The 40 constituent stocks currently take up to 46.34% of the overall market with the top 14 constituent stocks being chosen as TCSA Top Ten Domestic Corporates in the past three years. Director Chan also expressed that Taiwan’s top four funds invest in Taiwan stocks to an estimate of about more than one billion NTD in social responsibility investment and that the room for growth could be five-fold to ten-fold in the future. Director Chan emphasized that the sustainability indexes use “do good things and get things good in return” as the goal in that businesses can cover charity and business profits at the same time.
Group picture of Ambassador Eugene Chien (middle) with Associate Professor Chia-Wei Hsu of i-Sees Corporate Sustainability Management Research Center at Tungnan University (first from left), Director William Chen of Taiwan Index Plus (second from left), Director Chang Chan of Center for Corporate Sustainability at College of Business, National Taipei University (second from right) and Deputy Secretary General Pin-Chih Wang of Center for Corporate Sustainability.