Amsterdam, January 27, 2021: The Global Listed Infrastructure Organisation (GLIO), the representative body for the listed infrastructure asset class, GRESB, the Environment, Social and Governance assessment and benchmark specialist, and Global Property Research (GPR) today announce the launch of the GLIO/GRESB ESG Index.
The index boosts the specialist offering of the parent GLIO Index, whose principles are to capture companies engaged in activities critical for the day-to-day functioning of society and the global economy. The index arrives at a key juncture, when investors are increasingly aware of the importance of coherent climate and ESG goals. It will:
- Expand upon the parent GLIO Index
- Use GRESB’s annual infrastructure Public Disclosure scores to weight constituents
- Be managed by global real assets index specialist GPR, registered under EU Benchmark Regulations (BMR)
To enter the GLIO index, companies must derive 75% of EBITDA from the following infrastructure groups: Energy Transportation & Storage, Communications Infrastructure, Transportation, Renewable Energy and Regulated Network Utilities. The GLIO Index eligible infrastructure sectors are based on the broader industry standard EDHECInfra TICCS® classification system.
The GRESB Public Disclosure offers investors a unique tool to evaluate the transparency of sustainability disclosures as seen on the websites, sustainability reports and annual reports of infrastructure companies in the GLIO Index. The evaluation covers:
- sustainability governance,
- sustainability implementation,
- operational performance data, and
- stakeholder engagement practices.
Each constituent is scored on the above areas and the scores combined are applied in a 10% banding system to calculate a final weight in the index. Scores are updated in November on an annual basis.
The GLIO/GRESB ESG Index can serve as the basis for institutional asset mandates and exchange traded funds (ETFs). In addition, GPR has 25 years-experience in index customization which enables investors to tailor their investment strategies while using the GLIO/GRESB ESG Index as the backbone.
The index also provides an essential tool for investors to engage with constituent companies on improving public disclosure and transparency going forward.
The GLIO/GRESB ESG Index is the first ESG focused index in the listed infrastructure space.
Manoj Patel, Chairman of the GLIO Index Committee, said:
“The launch of the GLIO/GRESB ESG Index is leap forward in the sophistication of the asset class, aimed at encouraging better ESG disclosure. We see this as a move towards better ESG engagement with companies, enabling investors to benchmark through an ESG lens.”
Fraser Hughes, GLIO Chief Executive, said:
“Building on the parent GLIO Index and leveraging the experience of real assets ESG assessment specialist GRESB, puts us in a unique position. The GLIO/GRESB ESG Index is infrastructure focused, infrastructure backed and produced for specialist infrastructure investors, which means future developments are tailored to their needs. This is critical for the asset class to move forward in a representative and timely way.”
Sander-Paul van Tongeren, CEO GRESB, said:
“GRESB is pleased to contribute data on the ESG transparency of listed infrastructure companies for this first of its kind infrastructure ESG index. We anticipate growing interest in ESG data from listed infrastructure companies mirroring what we have seen in the private equity infrastructure space over the last five years.”
Jeroen Vreeker, Director at GPR, said:
“GPR frequently develops ESG-focused versions of its existing indices. The GLIO/GRESB ESG Index is the first of its kind covering the majority of available market capitalization in the listed infrastructure space and remains highly diversified across countries and sectors. The GLIO/GRESB ESG Index is a valuable addition to GPR’s suite of tailor-made benchmarking solutions.”
Available using Data Vendors Codes:
|GLIO/GRESB Infrastructure ESG Net Index (AUD)||GESGNAUD||.GESGNAUD|
|GLIO/GRESB Infrastructure ESG Index (AUD)||GESGAUD||.GESGAUD|
|GLIO/GRESB Infrastructure ESG Index (EUR)||GESGEUR||.GESGEUR|
|GLIO/GRESB Infrastructure ESG Index (Local Ccy)||GESGLOC||.GESGLOC|
|GLIO/GRESB Infrastructure ESG Index (USD)||GESGUSD||.GESGUSD|
|GLIO/GRESB Infrastructure ESG Communications Infra Index (USD)||GESGCOMU||.GESGCOMU|
|GLIO/GRESB Infrastructure ESG Energy Transportation & Storage Index (USD)||GESGETSU||.GESGETSU|
|GLIO/GRESB Infrastructure ESG Regulated Utilities Index (USD)||GESGUTLU||.GESGUTLU|
|GLIO/GRESB Infrastructure ESG Renewable Energy Index (USD)||GESGRNWU||.GESGRNWU|
|GLIO/GRESB Infrastructure ESG Transport Index (USD)||GESGTRNU||.GESGTRNU|
The Global Listed Infrastructure Organisation (GLIO) is the representative body for the listed infrastructure asset class, worth US $2.8 trillion in market capitalization. GLIO raises investor awareness for the asset class through research, education, events and promotion.
GLIO is supported by its membership structure. Its members are regulated utility and renewable, transportation infrastructure, communications infrastructure and energy transportation & storage companies.
In total, GLIO corporate members represent approximately US $650bn in market capitalization, or US $850bn in Enterprise Value. Specialist listed infrastructure managers account for the balance of the membership and manage approximately US $110bn in client’s capital.
GRESB is a mission-driven and investor-led organization providing standardized and validated Environmental, Social and Governance (ESG) data to the capital markets. Established in 2009, GRESB has become the leading ESG benchmark for real estate and infrastructure investments across the world. In 2020, more than 1,200 real estate portfolios reported to GRESB covering more than 96,000 assets.
Our coverage for infrastructure includes more than 540 infrastructure portfolios and assets. Combined, the reported infrastructure assets represent US $579billion GAV. The data is used by more than 100 institutional and financial investors to monitor investments across portfolios and navigate the strategic choices needed for the industry to transition to a more sustainable future.
Global Property Research (GPR) specializes in the creation of indices for the listed real estate and infrastructure sectors, available in various formats. GPR provides over 3,500 index series, focusing on creating solutions meeting the needs of (specialized) investors with specific mandates.
All index products use an extensive and unique proprietary database of global listed real estate and infrastructure companies. All its indices are distributed via various data vendors. GPR has a proven track record in real assets since 1995.
GPR has an independent, dedicated and experienced Index Team with hands-on service for clients. Moreover, all index calculation procedures and maintenance processes are performed in-house. GPR complies with the IOSCO Principles for Financial Benchmarks to the extent these are proportional in relation to GPR’s benchmarks and benchmark-related activities. GPR operates under the provisions of the EU Benchmark Regulation (“BMR”).