Leading global financial services company Citi announced today the launch of the Citi ESG World Indices, a new family of benchmarks aimed at providing exposure to best-in-class ESG performers from across global markets.
Utilizing ESG ratings from sustainability-focused data and analytics company Arabesque, the new index family incorporates a differentiated, best-in-class approach to identify the best performers in terms of ESG metrics, in addition to applying negative screening methodologies.
Michele Cancelli, Global Head of Citi Investment Strategies Trading and Structuring, said:
“We consistently develop new ways to bring innovative and topical index solutions to our global client base. The Citi ESG World Index family represents exposure to a theme which is at the forefront of many investors’ minds. In addition to showcasing Citi’s strong index construction capabilities, these indices also highlight our ability to collaborate with market leading platforms, such as Arabesque, to support our aim of delivering best-in-class solutions to investors.”
According to Citi, the indices were developed in response to increasing client interest in sustainability, and growing demand for ESG benchmarks, going beyond screening out negative risks.
Harlin Singh, Head of Sustainable Investing for Citi Private Bank, said:
“2020’s events accelerated interest in ESG across the private wealth landscape: from family offices to foundations, and non-profits to individuals. Our clients have told us they are seeking differentiated opportunities that move beyond simple negative screening and strategies which aim to capture outperformance as a result of their ESG attributes.”
Elree Winnett-Seelig, Global Head of ESG for Markets and Securities Services, said:
“This launch represents the next step forward in the ESG-related solutions that Citi can bring to financial markets. It demonstrates our commitment to innovation and championing the next generation of solutions in this field for a wide array of clients.”