INCREASINGLY evidence is showing that companies that incorporate long-term sustainability considerations efficiently can already offer investors lower cost of capital in the short to medium term, according to Corli le Roux, head of SRI Index and Sustainability at the JSE.She says the implication is that the company that incorporates long-term sustainability considerations efficiently may be well positioned to sustain long-term value creation, which is good news for investors such as pension funds who make up the bulk of institutional investment, and whose interest is in sustaining return for their beneficiaries."The added reputational benefits and competitive advantage that superior environmental, social and governance (ESG) management offers both the issuer and investor is an accolade that many find a positive factor motivating the move to expand their policies and practices to integrate ESG imperatives," says Ms Le Roux.In 2012, the Johannesburg Stock Exchange joined four other ex...
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