Deutsche Börse and Thai Exchange Join Sustainable Stock Exchanges Initiative
The Deutsche Börse is the latest of a growing number of stock exchanges that have joined the United Nations-supported Sustainable Stock Exchanges (SSE) Initiative aimed at encouraging listed companies to adhere to specific environmental, social, and corporate governance (ESG) guidelines.
The Deutsche Börse, a joint stock company formed in 1993 and headquartered in Frankfurt, lists close to 800 companies with a combined market capitalisation in excess of €1.4 trillion. Prior to joining the SSE Initiative, the Deutsche Börse had already started a number of transparency and ESG initiatives to facilitate socially responsible investment practices.
Both shares and bonds being traded on the Deutsche Börse capital markets may be included in a premium segment depending on their levels of transparency and compliance with ESG directives. Investors have access to an online information portal for sustainable securities that provides ESG data on some 1,800 companies included in STOXX indices.
“The organisation of transparent and stable capital markets of integrity is Deutsche Börse’s core competency,” says Hauke Stars, member of the exchange’s executive board. “We are pleased to have joined the SSE Initiative in order to support the ongoing dialogue on the sustainability of the financial markets.”
“The organisation of transparent and stable capital markets of integrity is Deutsche Börse’s core competency.”
Representatives of the Deutsche Börse will attend the upcoming SSE Global Dialogue in Geneva to discuss approaches to further improving sustainability and expanding on existing initiatives. The Deutsche Börse also wishes to contribute to the debate on the role of capital markets infrastructure providers within the sustainability movement. The German exchange is the 14th to sign on to the SSE Initiative.
Last month, the Stock Exchange of Thailand (SET) became the first Asean exchange to join the SSE Initiative. “This reinforces our regional leadership and will enhance SET’s international recognition,” says SET Chairperson Sathit Limpongpan, adding that this underlines the exchange’s aim to help develop the sustainability the Thai capital market in a concrete way. The Stock Exchange of Thailand will also be present at the SSE Global Dialogue in Geneva.
SET President Kesara Manchusree emphasised that the exchange maintains its own sustainability framework which focuses on five areas: Market value, business operations, employees, society, and environment. The bourse is now in the process of setting up working groups to formulate concrete sustainability policies.