BEIJING, Oct. 11 (Xinhua) -- Chinese companies included in the MSCI benchmark indexes ranked higher in ESG (Environmental, Social and Governance) criteria, according to MSCI.
The global index compiler said in a latest report that 11 percent of Chinese companies scored higher on ESG criteria over the past year.
Some 20 percent of Chinese companies scored the lowest ESG rating of CCC, down from 22 percent the previous year.
Twenty-six percent of Chinese companies scored BB this year, compared with 21 percent in 2018.
The improvement in the ranking was mainly because of stringent domestic regulations and greater importance Chinese companies attached to environmental protection, social responsibility and corporate governance, said Wang Xiaoshu, senior analyst with MSCI ESG Research.
MSCI also announced that it plans to add stocks on China's newly-launched high-tech board to its indexes from next month, expanding Chinese securities' exposure to global investors.
Beginning in November, equity securities on China's Sci-Tech Innovation Board of the Shanghai Stock Exchange, also known as the STAR market, will be eligible for inclusion in the MSCI Global Investable Market Indexes.