The RESPECT Index is Central Europe's first social responsibility index. Its portfolio covers Polish and foreign companies listed on the Warsaw Stock Exchange which follow the highest corporate governance, disclosure and investor relations standards, and which also take into account environmental, social and governance (ESG) factors. The index includes companies of strong liquidity and excellent practice of stakeholder relations. They are invited to complete a survey, which this year also tackled issues of dispute resolution and diversity management.
'KGHM is s socially responsible company, which develops in a sustainable manner. Being part of the RESPECT Index proves that we follow the right path and encourages us to work even harder in this field. Thanks to this, both our company and its stakeholders can benefit. From the corporate perspective, we have the chance to better adjust to global standards. It is also a strong stimulus for others to cooperate with us, as we treat our investors, local communities and natural environment properly,' said Marek Bestrzyński, Executive Director of the Corporate Centre at KGHM.
The index highlights investment attractiveness by underlining the quality of reporting, investor relations and corporate governance. Additionally, by including the liquidity factor, it serves as an actual reference for all investors. The RESPECT Index has gained 31% from the first publication on 19 November 2009 to December 2015, while the main index of the Warsaw Stock Exchange, WIG, has gained 11%.
'The results of this year's edition confirm that listed companies focus on responsible business despite demanding market conditions. This is demonstrated by the number of enrolled companies and their audit results, which have improved year on year. Polish and international investors are increasingly interested in the index. I believe that it will draw the attention of other companies to the importance of corporate social responsibility,' said Paweł Tamborski, President of the Management Board of the Warsaw Stock Exchange.
Experts are agreed that, year after year, companies participating in the RESPECT Index improve their ESG (environmental, social and governance) performance, as demonstrated by the average score, which has increased from 64.08 points to 71.01 points in the last three editions (the maximum score is 90 points). Most importantly, companies in the index are increasingly popular with issuers and investors, as shown by the RESPECT Index return rate.
Department of Communications and CSR
KGHM Polska Miedź S.A.