Dow Jones Sustainability Index (DJSI)

The Dow Jones Sustainability Indices (DJSI) are a set of indices to measure the financial performance of companies that are considered sustainability leaders.

The DJSI is fairly similar to the FTSE4Good indices, in that it is designed to measure financial success according to market capitalisation of companies that fit a certain criteria. The specific difference between the two is the criteria. The DJSI assess companies sector by sector according to a number of measures related to sustainability. The fall into the following categories:

1. Economic:
   a. Codes of Conduct/Compliance/Corruption
   b. Corporate Governance
   c. Risk/Crisis Management
   
2. Environment:
   a. Environmental Reporting
   
3. Social:
   a. Corporate Citizenship/Philanthropy
   b. Labour Practice Indicators
   c. Human Capital Development
   d. Social Reporting
   e. Talent Attraction and Retention
   

These are complemented by specific industry criteria and are given individual weighting. As a result any company's sustainability can be judged.

The DJSI is a selection of sustainability leaders per sector from the 2500 largest businesses in the world, put in an index and then tracked by market capitalization.

There are a number of DJS indices: The DJSI World is the base index and is made up of over 300 sustainability leaders from the largest 2500 companies in the world, from there the indices are broken into regional categories as well as simply by size of index i.e. DJSI World 80 tracks the financial performance of the 80 largest companies to be included in the DJSI.