“Exchanges maturing in ESG leadership as nine-in-ten embrace sustainability – new WFE survey out today” – World Federation of Exchanges – May 17, 2018

The World Federation of Exchanges (WFE) announced on May 17, 2018 the publication of “its fourth annual Environmental, Social and Governance (ESG) survey of members, which shows nearly 90% of member exchanges are embracing sustainability initiatives.

 Key highlights include:

  • Overall, 88% of member exchanges now embrace some form of ESG initiative, and 42% of exchanges have increased the number of initiatives (that took part in last year’s survey).
  • 70% of ESG disclosures for listed companies were driven by the exchange, rather than the market regulator, in each market.
  • Seven exchanges have adopted the Task Force on Climate-Related Financial Disclosures (TCFD) Recommendations, while a further 11 are planning to incorporate these recommendations soon.
  • Exchanges are leading by example with 57% incorporating ESG factors into their own reporting, up from 48% in 2016.
  • Investor demand for ESG disclosure has increased to 70% in 2017 from 64% last year, and 57% of exchanges believe there is demand for sustainability-related products.
  • 70% of exchanges that reported no investor demand are either from emerging or smaller exchanges within the EMEA region. And;
  • The number of exchanges offering green or climate bonds has increased to 14 from eight exchanges last year, while sustainability indices remain the most commonly offered product.

On the WFE internet site you may read the press release and download the full survey.