- The Move Aims to Increase the Companies' Exposure to International ESG Rating Firms and to a Larger Pool of Local and International Investors
- The completed questionnaires of the TASE-listed companies will enable TASE to collaborate with international index editors in the development of additional ESG indices.
TASE published today its first ESG questionnaire for the TASE-listed companies as a means to increasing their ESG involvement and allowing investors better access to ESG-related information, in line with international standards.
The questionnaire was developed in collaboration with Good Vision, an ESG advisory firm, and is designed to assist companies that have not yet published an ESG report. The questionnaire is based on an examination of similar questionnaires commonly used internationally, and was customized for the TASE-listed companies. The questionnaire is presented in English and contains 40 questions that address various aspects of the environment, society and governance, and also offers a basic glossary, in order to facilitate the process for newcomers and make the filling-out process more focused, easy and accessible.
The companies that choose to complete the forms will publish the questionnaire on their own websites, thereby increasing their exposure to a broader pool of local and international investors.
At the same time, the questionnaire and the links that will be submitted by the companies will be published on the dedicated ESG page of the TASE website.
TASE considers the publication of the questionnaire an additional milestone in the advancement of ESG, which has been gathering momentum in recent years, globally and in Israel, and as a means to increasing the exposure of Israeli companies to international ESG rating firms as well as to local and international investors.
TASE notes that currently only 70 of the TASE-listed companies publish full ESG reports, as compared to 90% of the companies included in the S&P-500 Index. A year ago, TASE aired on the TASE website a dedicated page containing a list of the TASE-listed companies that published an ESG report, including links to the relevant page on the company's website.
TASE has 3 ESG indices: TA-125 Fossil Free, Cleantech, and the veteran Maala Index. The objective is to launch additional ESG indices in the future in collaboration with an international index editor, which will allow the public to invest in companies that publish a full or condensed ESG report, based on the questionnaire.
To date, 40 ETFs and tracking funds on local and international ESG indices are traded on TASE, with an asset market cap of NIS 1.5 billion.
Ivri Verbin, CEO of Good Vision and Chairman of Grant Thornton's Global Sustainability Forum, said: “In recent years, we are seeing the growing weight of public companies' ESG activity and disclosure in the considerations of regulators, customers and, above all, investors. By offering a simple and user-friendly questionnaire, TASE helps companies that are taking their first steps in this field to align with international standards, implement processes and make their ESG activity transparent."
Hani Shitrit Bach, EVP and Head of Listings at TASE, said: “ESG has taken front stage as a significant and material consideration for both institutional and private investors, and in particular for foreign investors. The completed questionnaires will enhance the TASE-listed companies' exposure to foreign investors and international rating firms and enable TASE to collaborate with international index editors in the development of additional ESG indices. ESG champions values that further economic benefit and a real contribution to the ability of each and every one of us to ensure sustainable growth, protect the environment and create a more equal and fair society."
