Sygnia lists another ETF on the JSE

In the fast-evolving landscape of investment decisions, environmental, social, and governance (ESG) factors are playing an increasingly significant role. As more investors prioritize sustainability and responsible practices, financial institutions are adapting to meet these demands. One such adaptation is the listing of a new exchange-traded fund (ETF) on the Johannesburg Stock Exchange (JSE) by Signia, aimed at promoting sustainable investments. Joining CNBC Africa to discuss this groundbreaking move and the broader outlook on sustainability-linked ETFs is Sam Mokorosi, the Head of Origination and Deals at the JSE. The new addition to the sustainability block on the JSE comes in the form of the Signia Itrex S&P Global 1,200 ESG product. This innovative ETF tracks the top 1,200 ESG-rated companies using the S&P index of the same name, providing investors with a unique opportunity to participate in the ever-growing ESG trend on a global scale. As Sam Mokorosi highlights, ESG has emerged as a key trend in the investment world, and Signia's latest offering aligns perfectly with the shift towards responsible and sustainable investing. When it comes to the intersection of balancing the planet and profits, investors are increasingly looking towards ESG factors as a crucial metric for evaluating companies. Mokorosi suggests that the integration of ESG principles has become a prerequisite for investor participation in companies, signaling a significant shift in market expectations. Companies that fail to align with ESG goals risk losing investor interest and support, making ESG criteria a fundamental consideration in today's investment landscape. The performance of ESG-focused investments, including the new Signia ETF, has been closely monitored for its returns. Mokorosi points out that ESG-focused trackers are showing alignment with broader market returns, indicating that sustainable investments can be on par with traditional market performances. This trend underscores the increasing normalization of ESG considerations in investment decisions, with investors seeking transparency and accountability from companies. In conclusion, the launch of the Signia Itrex S&P Global 1,200 ESG product signifies a notable milestone in the realm of sustainable investing on the JSE. With the demand for ESG-aligned investments on the rise, financial institutions and companies are embracing the shift towards responsible practices and transparency. As Sam Mokorosi aptly summarizes, ESG is no longer just a trend—it has become a fundamental requirement for investors and companies alike, shaping the future of investment decision-making.