AXA rewarded for its constant progress in sustainability

Since 2006, AXA has improved its score in the Dow Jones Sustainability Index. From 62/100 in 2006, its score has reached 85/100 in 2016. A great reward for AXA’s sustainability initiatives implemented across the Group. ALL NEWS  |  Commitment
Sep 8, 2016

In 2016, AXA is ahead of 95% of its industry peers (with a score of 85/100), and significantly above the sector average which confirms its inclusion in the DJSI "World" and "Europe" indices.

Developed jointly by RobecoSAM and S & P Dow Jones Indices*, the Dow Jones Sustainability World Index series feature only global sustainability leaders. The purpose of these indices is to track and rank the leading sustainability-driven companies worldwide, based on an analysis of financially material Environmental, Social, and Governance (ESG) factors. They are recognized globally as a unique reference point in the field of sustainability.

AXA's score improved in the environmental and social dimensions of the RobecoSAM questionnaire and remained flat in the economic dimension. Among these, the following can be highlighted:

  • Principles for Sustainable Insurance (PSI): as a founding member of the PSI, AXA positively welcomed the introduction of the Stakeholder Engagement section within the PSI section as the involvement of stakeholders is key to a real ESG integration as required by the PSI. On top of the AXA Group Stakeholder Engagement Principles, AXA launched, in 2014 a Stakeholder Advisory Panel to inform and challenge AXA’s strategy.
  • Human Resources: AXA made significant progress in its 2016 score, shedding light, for instance, on innovative programs like the “Great Global Adventure”, a recruitment online game and on advanced long-term policies like the promotion of diversity and inclusion at AXA.
  • Tax Strategy: AXA gained 5 points in this section reflecting the increasing transparency in the disclosure of material tax-related information like, for instance, the AXA’s Tax policy.
  • Risk Detection: RobecoSAM positively noted AXA's capacities in terms of risk detection and risk training. On top of robust policies and governance, AXA’s very long-term vision and anticipation is rewarded. For instance, AXA has created an Emerging Risks Department within Group Risk Management.

This score reflects that, since 2010, the AXA Group has made significant progress in terms of Corporate Responsibility, having moved from introducing the concept for the first time in 2010, to fully integrating CR within the Group’s broader strategy. In 2016, for the first time, AXA’s DJSI performance has been integrated in the calculation of Long Term Incentives (Performance Shares).

AXA local entities' progress is also measured and encouraged with the help of an internal tool, itself adapted from the RobecoSAM methodology. AXA's approach to integrating long term environmental, social and governance factors into its business is based on detailed performance indicators reviewed every year by each and every local entity. This process and its results are fully disclosed in the 2015 Activity and Corporate Responsibility report.

AXA's historical DJSI performance

Besides the DJSI, AXA is also present in other ESG Indices: FTSE4 Good, Euronext Vigeo (World 120, Europe 120, Eurozone 120, France 20, Ethibel Sustainability), MSCI, Oekom, Sustainalytics and Carbon Disclosure Project (CDP).

*RobecoSAM conducts an annual analysis of the sustainability performance of more than 2,000 companies covering the major indices. The annual assessment is based on a questionnaire supported by extensive company documentation complemented by an additional analysis of media coverage, stakeholder commentaries and other publicly available sources. The questionnaire features about 100 questions on economic, environmental and social issues with a focus on industry-specific criteria that have a material impact on long-term value creation. The results underpin the Dow Jones Sustainability Indices (DJSI) as well as for RobecoSAM's investment needs. The possibility of being included in the DJSI is also an incentive to continually benchmark and improve sustainability performance.
Tags: Commitment