More and more investors want to invest in stocks of companies that conduct their business in accordance with the principle of sustainable development. This means that investment decisions are based on environmental and social aspects as well as economic performance. BASF shares are particularly attractive for such investors.
The inclusion in sustainability indices and rankings is a confirmation of our excellent performance concerning environmental, social and governance issues. Rating agencies have particularly highlighted our integrated sustainability reporting, business ethics and the development of sustainable products.
BASF participates in CDP’s climate change program since 2004. Investors use CDP indexes as assessment tools. In 2017, BASF reached a score of A-, representing leadership level. Companies on the “Leadership” level are distinguished by factors such as the completeness and transparency of their reporting. They also pursue comprehensive approaches in managing the opportunities and risks associated with climate change as well as emissions reduction strategies to achieve company-wide goals.
Regarding water management, BASF is reporting to CDP since the start of the program in 2010. In 2017, BASF has been included in the “CDP Water A” list again. The CDP assessment for sustainable water management evaluates how transparently companies report on their water management activities and how they reduce risks such as water scarcity. Furthermore, CDP assesses the extent to which product developments can contribute to sustainable water management at the companies’ customers. Efficient water use and the development of sustainable solutions for local water problems are important elements of BASF’s water stewardship strategy. Here, BASF cooperates with other local water users, such as municipalities and companies operating in the same river basin district
BASF is also again listed in the FTSE4Good Index Series. Only companies that meet stringent criteria in social, environmental and corporate governance (ESG) and manage to continuously confirm or develop these in regularly conducted assessments are listed in these indices. BASF is top class in terms of ESG among chemical companies belonging to the index.
Oekom Research AG has rated BASF again in the category Prime. Prime Status is awarded to leaders in the respective industry that succeeded in the rating process according to industry-specific criteria in terms of social and environmental compatibility. Among other things, BASF received special recognition for its climate protection strategy with clear greenhouse gas reduction targets as well as the comprehensive Sustainable Solution Steering™ method for determining the sustainability performance of products in their respective specific application.