Palmoilmagazine, JAKARTA –The stocks of palm oil plantation company, PT Dharma Satya Nusantara Tbk (DSNG) are in two new stock indexes in Environmental, Social and Governance (ESG) category, as the cooperation result of PT Bursa Efek Indonesia (BEI) and Yayasan Keanekaragaman Hayati (KEHATI). The two indexes are ESG Quality 45 IDX KEHATI (ESGQ 45) and ESG Sector Leaders IDX KEHATI (ESGS KEHATI) that start from 20 December 2021 to 31 May 2022.
DSNG’s entry in two new indexes in ESG category is the same with what BEI announced Number Peng-00408/BEI.POP/12-2021 and Number Peng-00409/BEI.POP/12-2021 on 15 December 2021. Index ESGQ 45 contains of 45 best stocks from ESG work assessment, financial quality, and good liquidity of the company. While ESGS KEHATI contains of stocks with ESG work assessment which is beyond average in the sector and having good liquidity. These refer to IDX Industrial Classification (IDX-IC).
The chosen stocks in the two indexes derived from stocks in Assessed Universe which has ESG Score beyond the minimum limits. ESG Score assessed ESG work of companies in ESG aspects based on the indicators and passed ESG Controversy Screening.
The companies in ESG KEHATI Universe would be ranked based on the highest to lowest ESG & Quality Composite Score. The companies having the highest composite assessment would be selected to be put into index until index constituent reached 45 constituents.
The factors which were taken to consideration in the index are market capitalization, total assets, net profits, free float, and average transaction. While the data sources to assess ESG stocks are sustainability reports, financial reports, company’s website, external data procurement, questionnaire, and other sources.
Director of DSNG, Andrianto Oetomo said, DSNG’s entry in the two new indexes in ESG category showed the acknowledge from capital markets on DSGN consistency to deliver sustainable standards, both in palm oil and wood products.
“We always put DSNG as the most ready – natural resource industry to conduct ESG aspects in our sustainable business practices, and openness that we deliver to our investors,” Andrianto Oetome said, as in the official statement to Palmoilmagazine, Thursday (16/12/2021).
Prior, DSNG was also in the seventh rank of 100 palm oil plantation companies globally in the Policy Transparency Assessment rank in 2021 ESG Sustainability Policy Transparency Toolkit (SPOTT). DSNG got 85,4 or escalated from 2020 within 75,3 score in the 16th rank. DSNG is the only one palm oil plantation company which the headquarter is in Indonesia in SPOTT top ten.
SPOTT is the study result to reveal ESG of 100 companies globally which operate in palm oil plantation business. (T2)