Bloomberg Ticker: EFWI
The EFW Efficiency Index™ is designed to capture the overall performance over time of “best-in-class” companies selected based on their capacity to capture growth opportunities and minimize risks linked to EFW-scarcity. The Index is composed of up to 150 OECD-listed companies, selected from our EFW Universe. It is calculated on a Net Total Return basis in US$, and was rebased at 100% on start of trading day, January 1st 2014. The Index is rebalanced quarterly, on the last business day of December, March, June and September.
Relative outperformance of the EFW Efficiency Index since Launch on 1/1/2014 (as of December 31st, 2016)
- +3.50% vs. MSCI World (+1.06% annual CAGR);
- +4.05% vs. MSCI World ESG (+1.23% annual CAGR);
- +13.29% vs. DJ Sustainability Index (+4.15% annual CAGR);
- +13.28% vs. DJ Sustainability World Index (+4.14% annual CAGR).
The objectives of the EFW Efficiency Index are three-fold:
- Expand investors’ interest in EFW efficiency as an alternative equity allocation strategy by demonstrating the outperformance of companies that have successfully incorporated EFW efficiency as an economic and industrial vision in their business models;
- Protect equity portfolios from the risks derived from climate change uncertainties;
- Provide a benchmark against which investors and money managers can measure their own investment performance.
The Index pursues its objectives by:
- Adopting an integrated approach across the Energy, Food and Water Nexus;
- Capturing the feedback loop and interconnection between the three resources;
- Selecting companies across the supply chains: producers, technology providers, consumers;
- Leveraging a proprietary, systematic and rules-based EFW efficiency analysis tool (EFW Scoreboard);