Stock market indices and ethical finance

  • For the fourth year in a row, Pirelli was confirmed as global sustainability leader in the Autoparts & Tires sector in September 2010 as part of the Dow Jones Sustainability World and Europe indices. Pirelli’s overall rating for 2010 was 90% (+2% from 2009), compared with an industry average of 55%.
  • For the second year in a row, Pirelli is also the only Italian company to be ranked as a world leader in its own sector
  • In January 2011 Pirelli was named world sustainability leader in the “Autoparts and Tyres” Sector and Gold Class Company for the fourth year in a row in the prestigious Sustainability Yearbook 2010, published by SAM Group in collaboration with PricewaterhouseCoopers.
  • Since 9 years into the FTSE4GOOD: rating for 2011 97%
  • Since years in the Axia Ethical e CSR (rating A+++), Aspi Eurozone, ECPI (rating EE+) Ethical Index EMU, FTSE ECPI Italia SRI Benchmark, FTSE ECPI Italia SRI Leaders, in the Ethibel Excellence Investment register, Axia Euro Ethical e CSR Index,  Kempen SNS Socially Responsible Investing, ECPI Ethical Index Global ed Euro.

The commitment to create long-term value that characterises the company’s responsible management and economic, social and environmental performance, has led to Pirelli being ranked on some of the world’s most prestigious stock market sustainability indices.

Pirelli is strongly represented in the portfolios of socially responsible investors, especially in Europe and North America. A tailored communication strategy is dedicated to this area, and promoted through specific roadshows. The assessments of company performance by SRI analysts and investors create benchmarking opportunities and offer ideas for continuous improvement.
In June 2010, Pirelli sponsored the seminar “Business Sustainability and Responsible Investments for the Creation of Long-term Value,” organised by the Academy- London Exchange Group and held at the headquarters of Borsa Italiana. On that occasion, the Chairman emphasised the importance of integrating the sustainable business model in strategies for growth and to maintain long-term value. The speakers at the event included Paul Druckman, Chairman of Access Technology Group – The Prince’s Accounting for Sustainability Project, and Giuseppe Van Der Helm, Chairman of Eurosif.

The following ethical finance indices on which Pirelli appears are illustrated below:

DOW JONES SUSTAINABILITY INDICES
DOW JONES SUSTAINABILITY INDICES

Pirelli has been included in the Dow Jones Sustainability indices since 2002.

For the fourth year in a row, Pirelli was confirmed as global sustainability leader in the Autoparts & Tires sector in September 2010, as part of the Dow Jones Sustainability World and Europe indices. For the second year in a row, Pirelli is also the only Italian company to be ranked as a world leader in its own sector. Pirelli’s overall rating for 2010 was 90% (+2% from 2009), compared with an industry average of 55%.

The Dow Jones indices are revised every year by SAM Group, a Swiss asset manager responsible for assessment, admission or exclusion of companies from the Dow Jones sustainability equity indices.

In January 2011 Pirelli was named world sustainability leader in the “Autoparts and Tyres” Sector and Gold Class Company for the fourth year in a row in the prestigious Sustainability Yearbook 2010, published by SAM Group in collaboration with PricewaterhouseCoopers. The Yearbook is one of the most complete and authoritative global benchmarking tools for sustainable finance specialists. It includes only the top sustainability scoring companies, ranked as such by SAM Group in the Dow Jones Sustainability Assessment, or 15% of firms in 58 business sectors.

FTSE4GOOD Indices
FTSE4GOOD Indices

Pirelli’s rating (expressed in qualitative terms in the profile prepared by EIRIS analysts) in 2010 showed further improvement from previous years.
In March 2011, for the first time, FTSE Group has given an overall rating to the 2,400 companies included on the list, giving Pirelli a score of 97 on a scale from 1 to 100 in the Automobiles & Parts sector.
The benchmark is comprised of the FTSE All-share Index and FTSE Developed Europe Index, excluding tobacco and weapons makers, owners or operators of nuclear power plants, and uranium mining or production companies.

Pirelli has been included in the FTSE Global and European STOXX indices since 2002.

ASPI EUROZONE® Index
ASPI EUROZONE® Index

Pirelli has been included since the beginning of 2005 in the ASPI EUROZONE® (Advanced Sustainable Performance Indices) index, which includes the 120 best-performing companies in terms of sustainability on the basis of ratings issued by Vigeo, a social and environmental rating agency. The ASPI survey pool is comprised by the companies included in the DJ EURO STOXX index. The 120 companies with the best sustainability performance are ranked on the ASPI EUROZONE® index.
The assessment of Pirelli conducted in 2010 showed further improvement from the previous years, particularly in the areas of corporate governance and human rights.

AXIA Indices
AXIA Indices

Pirelli has been included in the Axia Ethical Index since 2004 (the year when the index was created) and in the Axia Csr Index since 2005 (the year it was created). Pirelli is also included in the Axia Euro Ethical Index and Axia Euro Csr Index.
The Axia indices interact with the major international platforms for financial operators and encompass international best practices in corporate social responsibility for a range of companies selected from those with the highest capitalisation for the S&P MIB and Eurostoxx60 indices. Pirelli has been awarded an A+++ rating for the fourth consecutive year, while it was rated A++ until 2006: it has thus achieved the best score possible in terms of ethics.

EPCI Indices
EPCI Indices

Pirelli has been included in the ECPI ethical finance indices since 2008.

In particular, Pirelli is included:

  •  in the EMU Ethical Index, which ranks the 150 largest companies by capitalisation in the EMU (Economic and Monetary Union) market;
  •  in the FTSE ECPI Italia SRI Benchmark, whose components, selected from the FTSE MIB and FTSE Italia Mid-Cap baskets, are distinguished by their good rating in environmental, social and governance (ESG) terms;
  •  in the FTSE ECPI Italia SRI Leaders index, whose members, selected from the FTSE MIB and FTSE Italia Mid-Cap baskets, are qualified as excellent in terms of environmental, social and governance (ESG) sustainability;
  • in the investment universe of companies listed on the ECPI Ethical Index Global and ECPI Ethical Index Euro.

The ECPI Italia SRI Benchmark and FTSE ECPI Italia SRI Leaders indices were launched on September 19, 2010 by ECPI and FTSE Group. They represent the first series of indices on the Italian market for responsible investment.

Pirelli has an EE+ rating, corresponding to the profile of firms that have a transparent long-term strategic outlook, good operating management and make a positive contribution to society and the environment.

Ethibel EXCELLENCE Investment Register

Ethibel EXCELLENCE Investment Register

Pirelli has been included in the Ethibel EXCELLENCE Investment Register since 2008.
Forum Ethibel, an independent association that bases its research on reports prepared by Vigeo, the social and environmental rating agency, assesses the sustainability profile of companies for their inclusion on the Ethibel Register.

KEMPEN Indices
KEMPEN Indices

Pirelli has held Pass Status since 2003 in the entire Kempen Capital Management “KEMPEN SNS Socially Responsible Investing Universe,” with continually improving ratings.
The investing universe includes companies listed in Europe that prove they have adopted the highest standards in terms of ethical, environmental, and human resource standards and reporting.