Go to the ESG Evaluation Website
WHY ESG?

Corporate sustainability management is increasingly viewed as a key management theme every corporation must pursue, and investors pay close attention ever to the sustainability performance of the investee companies.

GSIA ( Global Sustainable Investment Alliance )
Non-financial factors such as governance structures, employees, partners, and the environment increasingly impact corporate value and growth. By preventing and managing non-financial risk through sustainability management, companies can balance financial and non-financial growth and enhance access to capital markets including the steadily growing responsible investment market.
  • An essential management theme, not a strategy pursed by the selective few
  • Saved cost of capital and increased benefit of listing
    by helping regain investors’ trust and invigorate capital markets
  • Corporate image and brand value enhancement
  • Sustainable growth

KCGS started corporate governance ratings in 2003 based on a high level of transparency and expertise. Since 2011, it has conducted ESG ratings that include social responsibility and environmental management, measuring the level of sustainable management at listed companies in Korea every year. Through ESG ratings, KCGS aims to help listed firms understand where they are in sustainability management and seek improvement where necessary. The ESG rating models have been developed by KCGS independently, not only aligned with international standards such as the OECD principles on corporate governance and ISO 26000 but also faithfully reflective of legal and management circumstances in Korea.

  • Collection of Raw Data

    Corporate disclosure (e.g. business reports, sustainability reports, and websites), materials such as from regulatory bodies and municipalities, and media coverageAbout 1,000 listed companies are rated.
    More than 900 raw data are collected per company.

  • Standard Rating

    Is a system in place to minimize ESG risks?

    In-Depth Analysis

    Is there any ESG-related issue likely to degrade corporate value?

  • Verification

    Adopt various data verification methods for accurate evaluation

    Feedback

    Two-way feedback via a web-based rating system

KCGS rates all the KOSPI-listed companies and selected KOSDAQ firms. Ratings are performed based on publicly available data initially, and rated firms can provide feedback on our website dedicated to ESG ratings, where detailed information regarding rating activities is available, including rating results, rating models and guidelines, and revision history.

ESG평가참여 표 내용
Go to the ESG Rating Website

* The website is available only in Korean.

Usage of ESG Rating Results
KRX ESG Thematic Indices
Used for KRX to construct its 5 ESG thematic indices :
KRX ESG Leaders 150,
KRX Governance Leaders 100,
KRX Eco Leaders 100,
KRX ESG Social Index,
KOSPI 200 ESG Index
SRI Advisory Service
Used to help institutional investors make SRI decisions
Policy Suggestion and Research
Used to make policy suggestion and research including diagnosing current states and identifying problematic areas, and exploring improvement plans
ESG Ratings Report
ESG Ratings Reports are provided for free to the rated companies.
 
Announcement of Rating Results
Ratings and analysis details are publicly released every year to assist investment decision-making
Trust Marks

KCGS designed trust marks for ESG ratings so as to help investors easily recognize ratings and support the rated companies to make use of the rating result in their public relations activities.
The marks and banners provided below may be used in the companies’ website and publicity materials.

TRUST MARK
  • ESG Integrated
    Rating
  • Environmental
    Rating
  • Social Rating
  • Governance
    Rating

Contact : ESG Ratings Office at +82-2-3775-3339

Market Square of Korea Exchange Seoul Office, 76 Yeouinaru-ro, Yeongdeungpo-gu, Seoul, Republic of Korea
KCGS

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ALL RIGHTS RESERVED