Morningstar Sustainalytics, a leading global provider of ESG data, research and ratings, has given One United Properties (BVB: ONE) an Environmental, Social and Governance (ESG) risk rating of 18.4. This score underlines that from an ESG perspective, an investment in One United Properties carries a low risk.
“Achieving an improved ESG rating that qualifies as low risk was one of our key objectives for this year. We are delighted to deliver on this commitment to our investors and we are particularly proud of the strong performance across all corporate governance categories. Moreover, following the release of the Sustainalytics rating on One United Properties and based on the publicly available information, we are proud to be among the top performers in the BET index in terms of ESG risk score, surpassing all but two companies, both from the banking sector. Corporate responsibility and risk management are integral to our business, and this exceptional rating from Sustainalytics reaffirms our dedication to creating long-term value while prioritizing the ESG considerations,” said Victor Capitanu, co-CEO at One United Properties.
Previously, in the September 2022 assessment, One United Properties received an ESG risk rating of 20.0, considered borderline low to medium risk. According to Sustainalytics latest report, between 2022 and 2023, One United Properties ESG risk management improved by 29.4%, showcasing a substantial improvement in the robustness of the company’s ESG programs, practices, and policies.
Sustainalytics’ ESG Risk Ratings employ a comprehensive approach to evaluate a company’s exposure to industry specific ESG risks and its effectiveness in managing them. Utilizing a multi-dimensional methodology that combines management and exposure concepts, this approach provides an absolute assessment of ESG risk, categorized across five levels: negligible (0-10), low (10-20), medium (20-30), high (30-40), and severe (40+).
In the rating process, Sustainalytics identified the following aspects as material to One United Properties: corporate governance, ESG integration in the financial reporting, product governance, human capital, occupational health and safety, bribery and corruption, emissions, effluents and waste, as well as community relations.
The company performed best in the corporate governance, bribery and corruption and ESG integration categories, with all three categories contributing the most to the risk exposure. Consequently, having received a strong risk management score in these three categories, One United Properties underscores its commitment to responsible risk management and strong governance.
The ESG Committee to the Board of Directors, responsible for defining One United Properties’ sustainability strategy, oversaw the ESG rating process. The Risk Rating Summary report of One United Properties is available on ONE’s website.
The ESG rating is part of One United Properties Sustainability strategy, measured and reported as of 2020. In the company’s latest ESG report for 2022, new metrics were introduced to enhance accountability towards stakeholders. Consequently, as of 2022, One United Properties measures its CO2 footprint, gender pay gap, and annual compensation ratio, just to mention a few. Moreover, the company introduced, between 2021 and 2022, several new policies, including a robust whistleblowing policy and a comprehensive remuneration policy.
One United Properties (BVB: ONE) is the leading green investor and developer of residential, mixed-use, and commercial real estate in Bucharest, Romania. One United Properties is an innovative company dedicated to accelerating the adoption of construction practices for safe, energy-efficient, sustainable, and healthy buildings. It has received numerous awards and recognitions for its superior sustainability, energy efficiency, and wellness. The company is publicly traded on the Bucharest Stock Exchange, and its shares are included in multiple indices such as BET, STOXX, MSCI, FTSE, ROTX and CEEplus.
Copyright 2023 Morningstar Sustainalytics. All rights reserved. This publication/ article/ section] contains information developed by Sustainalytics (www.sustainalytics.com). Such information and data are proprietary of Sustainalytics and/or its third party suppliers (Third Party Data) and are provided for informational purposes only. They do not constitute an endorsement of any product or project, nor an investment advice and are not warranted to be complete, timely, accurate or suitable for a particular purpose. Their use is subject to conditions available at: https://www.sustainalytics.com/legal-disclaimers.