To produce the Ranking, CRD Analytics used their own Smartview® methodology, which uses 200 individual performance metrics composed of traditional financial data and Environmental, Social and Governance (ESG) data. Smartview® also powers the NASDAQ OMX CRD Global Sustainability 50 Index. The result is a highly credible, aggregated view of companies' absolute sustainability performance, along with an analysis of their performance in transparency and disclosure.
Michael Muyot, President and Founder of CRD Analytics, described the development of the methodology: “We started creating financial indexes with NASDAQ last year, they did extensive due diligence on our methodology and chose ours over several others. We also consulted with dozens of industry experts and fine-tuned it over and over again using well established rules along with proprietary algorithms to design a robust and comprehensive methodology, rankings, ratings, indexes and reports.”
Using a rigorous, verified analysis of the data, CRD Analytics has shown that global companies that improved their ESG performance between 2006 and 2008 performed better than companies on the MSCI World Index by over 11.6 percent in 2008/09.
Martin Smith, CEO and Founder of Justmeans, is looking to the future of ESG reporting: "The Justmeans and CRD Analytics partnership on the Global 1000 ranking reflects the beginning of a series of product launches that will help all stakeholders better analyze corporate non-financial performance. We selected CRD as our research partner primarily for two reasons: one, we think they have the most robust ESG analysis worldwide, and two, we believe that the Global Reporting Initiative's G3, and soon G4, Guidelines will become the default global standard for large cap companies' disclosures on non-financial performance."