FTSE Russell expands ESG analysis to small caps
Global index and data provider, FTSE Russell, has announced that it has expanded its environmental, social and governance (ESG) data analysis to include small cap companies, a move which will see around 250 Australian listed companies be added to its ESG coverage.
Although Australia was one of the countries that recently deepened its commitment to integrating ESG into its investment practice, it turned out that some smaller Australian firms still lagged behind in terms of their understanding of the ESG needs of investors.
As a result, these companies had limited disclosure practices compared to their larger peers, the firm said.
“We are pleased to expand our coverage in the Australian market where sustainable investment is a priority for many customers,” FTSE Russell’s head of sustainable investment, David Harris, said.
“By providing access to detailed, structured and transparent information on the ESG priorities and performance of Australian companies it will help support investor stewardship and ESG integration into active and passive strategies.”
AUTHOR
Oksana Patron
Recommended for you
Australian equities manager Datt Capital has built a retail-friendly version of its small-cap strategy for advisers, previously only available for wholesale investors.
The dominance of passive funds is having a knock-on effect on Australia’s M&A environment by creating a less responsive shareholder base, according to law firm Minter Ellison.
Morningstar Australasia is scrapping its controversial use of algorithm-driven Medalist ratings in Australia next year and confirmed all ratings will now be provided by human analysts.
LGT Wealth Management is maintaining a neutral stance on US equities going into 2026 as it is worried whether the hype around AI euphoria will continue.
