AuSSI is the Australian SAM Sustainability Index. This is a index which highlights the performance of organizations in Australia which are relatively better in terms of their performance in the planet, people and profits area.
The latest update shows that the performance of this index mimics the performance of the ASX 200, the general stock index perfectly over many years.
This is quite interesting. What does this tell us?
- Is Sustainability a better corporate strategy in general? May not be.
- Sustainability has no extra cost, best case is that it is performance neutral. In essence, FREE.
My conclusions could be wrong. However, this graph clearly highlights that there is an opportunity here. If a sustainability strategy which is better for the company, community and the climate creates a long term share performance which is on average same as a non-sustainability startegy (for a lack of a better word), then in essence the costs of sustainability are free and derive benefits which match the costs atleast.
In total, this is a good result. More investigation is require.