S&P Scored & Screened Indices
The S&P Scored & Screened Indices, formerly known as S&P ESG Indices,
are designed to be broad-based indices that measure the performance of securities from an underlying index that meet the sustainability criteria as defined in the index methodology, while maintaining similar overall industry group weights as their underlying indices.
The indices are market capitalization-weighted, targeting 75% of the float-adjusted market capitalization (FMC) of each Global Industry Classification Standard (GICS®) Industry Group within the relevant underlying index, using an S&P DJI ESG score as the defining characteristic. The indices also apply exclusions based on companies’ involvement in specific business activities, performance against the principles of United Nations’ Global Compact, and involvement in relevant ESG controversies.
The indices use S&P DJI ESG Scores to select constituents. S&P Global calculates these scores and derives them from their ‘Corporate Sustainability Assessment’ (CSA). A company’s CSA score is derived using either company-provided data, publicly available information, or a combination thereof.
Service Provider Information
Key Information
Use Cases
- Pre-screened universes for active management
- Benchmarks for actively managed ESG strategies
- Underlying indices for passive funds, structured products, and other financial products
- Secondary benchmark for use next to the S&P 500 and other headline indices
Benefits
- Broad-market index design results in a risk and return profile similar to that of the underlying index while providing improved ESG characteristics
- Incorporates ESG scores derived from the S&P Global Corporate Sustainability Assessment (CSA), providing a financially-material look at a company's sustainability performance that goes beyond publicly disclosed information
- Transparent, easy to understand methodology applied to S&P DJI's most popular benchmark indices, such as the S&P 500