ESG is an evaluation standard that pays attention to enterprises’ environment, society, governance achievements rather than financial performance. It reflects values of business development, guiding enterprises to achieve economic, social and ecological all-win benefits.

The ESG concept is highly consistent with the Five Concepts for Development and the Three Big Battles: E corresponds to pollution prevention, S relates to targeted poverty alleviation, and G matches with risk prevention. Based on ESG evaluation, investors could evaluate the contributions of their investment behavior and enterprise (investment choice) in promoting sustainable economic development and fulfilling social responsibilities by its ESG performance.

CNI ESG Comprehensive Evaluation System combines both qualitative and quantitative methods, and is based on the open market data. It covers all A-share listed companies, and establishes multi-dimensional appraisal on their ESG performance. The system contains more than ten years of historical data, and the contents of the investigation are briefly shown below.

Environment (E): clean energy, efficient use of energy, clean materials, recycling of resources, environmental restoration and ecological protection, pollutant treatment, etc.;

Society (S): contribution to national tax revenue, wages, interest payment, construction of harmonious community, public service, major issues of social responsibility, etc.;

Corporate Governance (G): shareholders' right and code of conduct, board of directors and board of supervisors, the integrity of information disclosure, business performance, other negative factors, etc..

As a pioneer of ESG index practice in China, our company has released the first E, S, G thematic index in the Chinese market. By the end of August 2019, SSIC has issued a total of 22 indexes, involving corporate governance, social responsibility, environmental protection industry and green ecology.

In 2005, SSIC launched China’s first corporate governance index: CNI CORP. Governance (ticker: 399322);

In 2008, SSIC launched China’s first environmental protection index: CNI EP Index (ticker: 399358);

In 2009, SSIC launched China’s first social responsibility index: SZSE CSR Price Index (ticker: 399341);

In 2010, SSIC launched China’s first low carbon index: CNI Low-Carbon 50 Index (ticker: 399378);

In 2017, SSIC launched the first China’s Green Bond Index in Europe: CUFE-CNI Green Bond Index Series

SSIC has always adhered to an open, cooperative and win-win attitude, and cooperated with government, enterprises, education, research institutes to actively participate in the construction of ESG system and promote the development of ESG investment.

China Central Television (CCTV) Financial Channel: CCTV 50 Index (ticker: 399550);

China Energy Conservation and Environmental Protection Group (CECEP): SZSE Energy Conservation Index (ticker: 399695);

International institute of Green Finance, Central University of Finance and Economics (CUFE IIGF): CUFE-CNI SZ-HK Connect Green Selection Index;

Luxembourg Stock Exchange (LuxSE): New China Green Bond Index Series.