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The Markets & Infrastructure score of this Portfolio is 59

Markets & Infrastructure

The Globalance Footprint® shows you the impacts of your assets around the world - individually and at a glance. Our framework is simple and objective. Using nine themes, we assess your contribution to sustainable foundations for economic prosperity, the future viability of society and the preservation of our natural resources.

59

Markets & Infrastructure

11%

of this invested capital features an adverse footprint in Markets & Infrastructure.

26%

of this invested capital features a balanced footprint in Markets & Infrastructure.

63%

of this invested capital features a positive footprint in Markets & Infrastructure.

What's at stake

Favourable economic conditions and sustainable physical infrastructure are drivers of competitiveness in the global markets – an important prerequisite for the prosperity of nations. Developed regions are faced with the challenge of preserving these positive factors or, as it were, using them more efficiently and effectively. Developing and emerging nations need first to lower the regulatory and bueraucratic obstacles which are causing high costs to the economy, and second create positive conditions. Properly functioning financial and capital markets are part of it: they need to facilitate the efficient allocation of capital.

Markets & Infrastructure Scores of your Assets

59

Portfolio Footprint Score

0100

Data source: Globalance

 
Asset Name
Markets & Infrastructure
Economy
Total Footprint
% of portfolio
KDDI Corporation8482892.5%
Fujitsu Limited8375880.2%
Sony Group Corporation8243581.7%
Sompo Holdings,Inc.8282720.1%
Tokyo Electron Ltd.7997706.8%

Why does it matter

Global Challenges

  • A high degree of legal uncertainty

  • Unstable and closed markets

  • A lack of transparency in terms of political influence (lobbying)

  • Economic costs due to unethical business practices (corruption)

  • Price-fixing (cartels)

  • Untimely or poorly conducted infrastructure projects

Global Goals

  • The integrity and transparency of companies and transactions

  • High standards of corporate governance

  • The opening and strengthening of goods and services markets, also for previously disadvantaged market segments

  • Financial market development

Relevance for Investors

Corruption within the public sector leads to stagnating education and slower progress. This is as relevant to G20 countries as it is to the developing world. According to former World Bank director Daniel Kaufmann, a 300% development dividend can be generated with good governance and corruption control. Countries that fight corruption and improve legal frameworks will profit from a threefold increase in Gross Domestic Product (GDP) in the long run, says Kaufmann. Investing in companies that are active in countries facing corruption problems creates a moral obligation to take responsibility. But investors also profit from a strong future economic development of such markets in the long run.

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Globalance assesses and comments: With our Insights, we show you what the developments in the world mean for your assets. The focus is on future-oriented answers to major challenges.

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