# RepRisk interviews Jaspreet Duhra, Senior Director, Product Management ESG Indices at S&P Dow Jones Indices
1. RepRisk: Please introduce us to S&P DJI and tell us about the work done by you and your team.
Jaspreet Duhra: S&P Dow Jones Indices (S&P DJI) has a rich history in ESG, having pioneered the space with the 1999 launch of the world’s first global sustainability benchmark, the Dow Jones Sustainability Index (DJSI). Today, S&P DJI continues to innovate with more than 100 ESG indices to accommodate diverse investment objectives for almost every type of investor, ranging from best-in-class approaches like the DJSI to broad market benchmarks like the S&P 500® ESG Index, along with other regional benchmarks that seek to replicate the risk/return profile of the underlying index. S&P DJI also creates tools for an array of climate investing needs, including sophisticated approaches in line with the recommendations of the TCFD, as well as various thematic ESG benchmarking and data solutions.
2. RR: In your opinion, what drives the current demand for ESG indices or index tracking products?
JD: There are many drivers of this increased interest in ESG investing. One is expanding regulations, particularly in Europe. Another is more ESG data being made available to investors, again partly driven by regulation. Of course, there are financial reasons for considering ESG issues — ESG data provides a more holistic view of a company, enabling investors to make potentially better decisions. The data can help investors with risk management, and there is evidence that ESG factors can impact the long-term performance of companies. This momentum behind ESG investing has intersected with the trend toward passive investment as investors continue to look for transparent, low-cost, and tax-efficient alternatives to actively managed, higher-cost products.
3. RR: What do you see as the future opportunities within the ESG index space and what advantages does S&P DJI bring related to this?
JD: S&P DJI indices offer access to the highest-quality ESG data through the in-house research of SAM and Trucost, which are both part of S&P Global. We are also able to tap into thirdparty data suppliers such as RepRisk to complement our internal ESG data in our indices when additional measures are needed to achieve objectives. For example, in the S&P 500 ESG Exclusions II Index companies with a score of 70 or above based on the RepRisk Index (RRI) are removed from the index as an additional risk layer. Having access to market leading ESG data providers, coupled with our lengthy history of providing independent and transparent indices, positions us well to supply a broad suite of ESG index solutions to the market.
Conclusion
S&P DJI uses RepRisk for their S&P 500 ESG Exclusions II Index, which includes a Fast Exit feature based on RepRisk ESG risk data. The Fast Exit feature allows investors to swiftly react to breaking or critical issues and material risks facing the company or listing – issues that might translate into financial, reputational, or compliance risks.
Bio – Jaspreet Duhra
Jaspreet Duhra is Senior Director, Environmental, Social, and Governance (ESG) Indices at S&P Dow Jones Indices (S&P DJI). Jaspreet is involved in the design, methodology, and strategic direction of S&P DJI ESG Indices globally, as well as working closely with the Global Research & Design, Sales, and Marketing departments to bring new indices to market. S&P DJI caters to a diverse spectrum of ESG investing needs, from best-in-class approaches like the world-renowned Dow Jones Sustainability Index, to broad-market ESG alternatives, to mainstream indices like the S&P 500® ESG Index.
Before joining S&P DJI in 2019, Jaspreet worked as an ESG Product Specialist at ISS, as the Head of the UK office at oekom research, and in business development, account management, and analyst roles at Eiris.
Jaspreet holds a BSc in Geography and Geology from the University of Manchester and an MSc in Environmental Technology (Business & Environment) from Imperial College London.
