The mood in the room is dynamic and vibrant, driven by a lively discussion among the participants about community engagement, data analytics and incentive structures. While supply chains might not strike many as the most engaging of subject matters, the passion felt in the room is clear enough.
On any given week at The Stock Exchange of Thailand, discussions like this are held about the topic of sustainability. Over the past several years, the SET has devoted considerable resources to raising awareness about the importance of sustainability, whether it be in terms of risk analysis, data management, reporting standards or stakeholder engagement.
"We don't talk about CSR now. In the past, CSR was just seen as donations and charity. But in recent years, it's all about sustainable development," says Kesara Manchusree, the SET president.
"At the end of the day, we would like to see our companies be around for the next 100 years."
Kesara Manchusree, president of The Stock Exchange of Thailand (SET). Photo by Pawat Laopaisarntaksin
The exchange's Social Responsibility Center, established a decade ago as the Corporate Social Responsibility Institute, lists as its goals as encouraging stakeholders to consider sustainability in business and investment, supporting the sustainability of the Thai capital market and promoting best global practices.
CSR FOCUS
- Resilient Bangkok?
- Editor's note
- Stimulating sustainability
- Levelling the playing field
- Inspiring the love of reading in children with free fairy tales
- Waste not, want not
- Coaxing turtle conservation out of its shell
- Giving nature a helping hand
Kesara said the SET was strongly committed to raising awareness among listed companies about their policies and impact with regards to the environment, social responsibility and governance.
She said progress has been steady, noting that there are currently 14 Thai companies in the Dow Jones Sustainability Indices, which looks at the sustainability performance of the world's largest companies.
Siam Cement was the first Thai company to enter the index, with a gold listing in 2008. Last year, Kasikornbank joined the list, whose other members include PTT, PTT Exploration and Production, Thai Oil and Banpu.
Kesara said while the DJSI focused on the world's largest companies, the SET had launched its own ranking to help investors and market participants evaluate local listed companies in terms of their commitment to sustainability.
The Thailand Sustainability Investment list in 2016 included 55 companies selected through an annual assessment of their performance on a range of environmental, social and governance factors. The list includes market benchmarks such as mobile operator Advanced Info Service and Siam Commercial Bank, as well as six small companies listed on the Market for Alternative Investment.
The SET has also established a social impact platform as a forum to help network investors, social enterprises, non-government organisations, charity foundations in collaborating on social entrepreneurship and impact investment.
"Overseas, the research is quite considerable that companies with a strong commitment to sustainability outperform others," Kesara said.
"In Thailand, this is still relatively new. But the trend is positive and interest is growing."
The SET's efforts to promote sustainability includes its own operations. The SET was the 2nd stock exchange in Asia and the 12th worldwide to join the Sustainable Stock Exchanges initiative, a platform set up to share knowledge about how exchanges can enhance awareness on environmental, social and corporate governance issues and encourage sustainable development. The programme was first launched in 2009 and is organised by the UN Conference on Trade and Development, the UN Global Compact, the UN Environment Program Finance Initiative and the Principles for Responsible Investment.
