Sustainable development companies outperform stock markets

Sustainable development expert Sir Martin Laing is to give a luncheon presentation on December 4 at the Corinthia Palace Hotel, Attard on "Business in the Environment".

Sir Martin, who is being brought over by the Institute of Directors Malta Branch (IoD), is a member of the World Business Council for Sustainable Development, the Trustee Emeritus of the World Wide Fund for Nature (WWF) and president of the Institute of Export.

He is a past president of the Construction Confederation and formerly group chairman of John Laing. He is currently a non-executive director of this leading UK developer, which owns and operates infrastructure, housing and other accommodation.

During his presentation, he will argue that it is not just the environment that benefits from enlightened business practices. Companies committed to sustainable development continue to outperform the world's stock markets and earn higher revenues for their shareholders.

The return on equity of the Dow Jones Sustainability Group Indices (DJSGI) averaged 15 per cent, compared with just eight per cent from companies in the regular Dow Jones Index.

The DJSGI was launched in 1998, aiming to demonstrate that firms that are strong on the environmental, social and economic tests of sustainability should outperform the general market. The index of over 200 companies is made up of the top 10 per cent most sustainable firms.

The UK is represented by 30 companies and includes household names such as Sainsbury's, Thames Water, Boots and Powergen. UK company Unilever was the most sustainable firm in the 'food products' section. Anglian Water and Thames Water headed the global index for the utilities sector.

For registration or more information, contact IoD's honorary secretary James Arrigo on tel. 2124 7400 or email to jamesarrigo@waldonet.net.mt