Hong Kong Cluster

The Standard Ethics Hong Kong Cluster was launched on 11th of July 2020, with the initial value of 10,000.

Purpose

The purpose of the Standard Ethics Hong Kong Cluster is to imeasure, over time, the market's confidence in the voluntary guidelines and indications on Sustainability and Corporate Governance established by the OECD, the EU and the UN. 

Each Standard Ethics’ Cluster is public and operates on a full disclosure basis: the methodology and selection criteria are publicly available and may therefore be freely used as benchmarks by decision-makers and stakeholders. Standard Ethics’ Clusters (formerly known as Indexes or Benchmarks) have been applying the same methodology since 2004 and are self-financed. Standard Ethics’ work focuses on sustainability ratings, and its clusters are not subject to commercial activity or used as financial products.

Constituents

The constituents of the SE Hong Kong Cluster are 50 of the country's largest listed companies. The companies were selected according to their size, in terms of market capitalization, as well as the amount of their free float. 

The weights of the individual constituents are derived from the solicited or unsolicited Corporate Standard Ethics Rating (SER) assigned to each company.

For more information on Cluster's constituents click here.

Rebalancing and Review

If the Agency intends to track the Cluster’s performance, as it has done in the past, it will determine the weighting of each component based on the Standard Ethics Rating and rebalance the Cluster on a monthly basis.

The Cluster is reviewed every six months, at the end of the first and third quarter.

Rating actions will be recorded only on the dates when the review is scheduled to take place.