With the start of January 2005, Ethibel launches the Ethibel Excellence label. The new Ethibel Excellence label extends to pioneers in the field of social responsibility as well as companies performing better than average in terms of sustainability. The Ethibel Excellence label follows the established Ethibel label, henceforth called the Ethibel Pioneer. With introduction of the Excellence label, Ethibel is now in the position to respond to the demands of a wider public.
Ethibel decided to launch the Excellence label in response to a growing demand for Ethibel labelled funds – currently representing investments to the value of one billion euros. Since company shares of sustainability pioneers are not always readily available, certain types of investment funds are limited in their possibilities of spreading risks. With introduction of the Ethibel Excellence label these investment funds can now achieve the desired spread.
Research and evaluation methods
The Ethibel Excellence label applies the same strict research and evaluation methods that have been our hallmark for the past 12 years. An international team of analysts evaluates companies for a total of 106 different criteria. Our assessments are tested against the accounts of labour unions, environmental and human rights organisations, among others. The final assessment is made by an international panel of senior experts. We naturally continue to exclude companies involved in weapons, nuclear energy, gambling and tobacco and we remain critical of companies that oppose union activities, employ child labour, are non-transparent or violate environmental legislation, to name but a few of our criteria.
The Ethibel label, the quality label for sustainable investment
Ethibel, the European quality label for sustainable investment funds, is a registered collective label, recognised by all countries of the European Union. It is a guarantee for investors that investment funds are composed exclusively of companies selected on the basis of Ethibels comprehensive evaluation model. Funds are limited to those shares and bonds included in Ethibels investment register.
Both Ethibel labels possess a corresponding Ethibel index. The Ethibel Pioneer Index includes only those companies that effectively play a pioneering role in terms of sustainability. The Ethibel Excellence Index includes, in addition to those included in the Pioneer Index, companies that clearly perform better than the average. For both indices, the Excellence as well as the Pioneer Index, exist a corresponding European and global index. The Ethibel Pioneer Index was first launched in June 2002. According to calculations made by Standard & Poors, the Ethibel Index has shown excellent results over these past two years. During this period, the Ethibel Pioneer Global has outperformed the S&P Global 1200 as well as the DJ 1800.
The not-for-profit organisation Ethibel is an independent research agency and consultancy for socially and environmentally responsible investments. Its main activities consist in the social, environmental and ethical screening of companies and in the promotion of ethical financial products to the general public. Ethibel advises banks and brokers offering social-ethical and green financial products and accredits sustainable investment funds with its own label.