For over a decade, the Global 100 Index has stood as a beacon of sustainability, tracking higher total returns while championing environmentally conscious practices. Established in 2005, this rules-based sustainability rating has become synonymous with transparent assessments that prioritize a company’s impact on both people and the planet. In this article, we explore the continued success of the Global 100 Index, showcasing how its commitment to sustainability has shaped the business landscape.
The Global 100 Index (ticker: CKG100) evaluates publicly traded companies with over US$1 billion in revenue across 25 key performance indicators. These indicators encompass resource management, employee management, financial management, sustainable revenue, sustainable investment, and supplier performance. Companies involved in environmentally harmful practices are disqualified, reflecting the index’s dedication to a sustainable future.
Corporate Knights, the independent media and research B Corp behind the Global 100 Index, quantitatively ranks the world’s largest publicly traded companies based on their operations and core products’ impact. In 2024, the Global 100 corporations invested 55 percent of their capital expenditures, research and development, and acquisitions in sustainable categories—tripling the average of large companies with over $1 billion in revenue. This substantial commitment demonstrates that Global 100 companies back their green commitments with tangible investment dollars.
Global 100 companies are not just talking the talk; they are walking the walk. These corporations direct three times more capital into sustainable investments and generate three times more sustainable revenue compared to the average large company. The business case for sustainability is not only proven by their commitment but also by their impressive financial performance. The Global 100 Index has consistently tracked higher total returns (net USD) since its inception in 2005, showcasing a return of 295 percent as of the end of 2023.
2024’s Most Sustainable Corporation:
This year, the 106-year-old Australian scrap metal recycler Sims Ltd emerged as the most sustainable corporation. Despite not having a pristine environmental track record, Sims Ltd has made significant investments to improve its performance. The company has set ambitious targets, aiming to transition entirely to renewable energy, achieve carbon neutrality by 2030, and net-zero emissions by 2050.
The success of companies like Sims Ltd and Brambles Ltd, which tops the 2024 ranking, symbolizes the growing association with a circular economy. Sims recycles scrap metal globally, while Brambles rents recycled shipping pallets and containers worldwide. Both companies score a perfect 100 percent on sustainable revenue and sustainable investment, showcasing the potential of waste streams becoming valuable resources.
ERG SpA, an Italian energy firm, received the Global 100 “pivot prize” for completing its transition from a fossil-fuel-centric company to a clean-energy powerhouse. This transformation reflects the evolving landscape of the global economy, where green initiatives drive growth.
The Global 100 Index continues to play a pivotal role in shaping the sustainable business landscape. Its success stories, from Sims Ltd’s sustainable practices to ERG SpA’s green transition, highlight the transformative power of a circular economy. As the index celebrates over a decade of leadership, it sets the stage for continued global economic growth driven by environmentally conscious practices. The Global 100 Index remains a trailblazer, inspiring companies to prioritize sustainability for the next two decades and beyond.
