China ESG - Weekly news update July 2020 / 02

First inflows for China equity funds in 11 weeks

According to Bank of America data, Chinese equities took the top spot for ranked equity returns so far this year at 17.1% in USD terms, and was only one of five equity markets making a positive return. The rush to Chinese equities also broke the second-longest outflow streak (20 weeks) for emerging market equity funds since EPFR had started tracking them. Emerging market equity funds with a socially responsible or ESG mandate posted inflows for the 14th time in the past 15 weeks.

Source: Investment Centre

SASB and GRI announce collaboration to promote clarity and compatibility in the sustainability reporting system

The Sustainability Accounting Standards Board (SASB) and the Global Reporting Initiative (GRI) are pleased to announce a collaborative workplan amid rising demand for compatibility in the sustainability reporting system. SASB and GRI will work together to demonstrate how some companies have used both sets of standards together and the lessons that can be shared. The two organizations aim to help the consumers of sustainability data understand the similarities and differences in the information created from these standards, including examples based on real-world reports. These resources are planned to be delivered before the end of 2020.

Source: GlobeNewswire

FSDC Proposes Measures to Advance Hong Kong as an ESG Hub

Hong Kong’s FSDC (Financial Services Development Council) has issued a new paper offering policy recommendations to further develop the ESG investment ecosystem in the city. According to the paper, Hong Kong has entered its growth phase as an ESG investment hub. It maps out the various ESG initiatives of various Hong Kong regulators, and highlights areas where the public and private sectors can be coordinated to further develop the ESG ecosystem.

Source: Regulation Asia

CDP Launches Temperature Ratings Dataset

CDP's temperature rating dataset provides a temperature pathway for over 4,000 global companies, based on emission reduction targets covering all relevant emissions in a company’s value chain. Investors must scale investments that support the transition, and work to align their portfolios with a maximum of 1.5 °C of warming.

Source: CDP