Indices and Ratings
Sistema uses independent tools for assessing the effectiveness of management practices and activities in the field of sustainable development, corporate responsibility and transparency, which are based on disclosure of non-financial information about the Corporation.
Since 2016, FTSE Russell, a global provider of stock market indices and data services for investors owned by the London Stock Exchange (LSE), has been including Sistema in its FTSE4Good Index designed to measure the performance of issuers demonstrating strong Environmental, Social and Governance (ESG) practices based on an analysis of more than 110 indicators related to corporate governance, anti-corruption labour standards, human rights & community, supply chain, climate change.
Following the June 2018 review, FTSE Russell upgraded the ESG rating of Sistema and confirmed its status as a constituent of the FTSE4Good Index Series.
Since 2016, the Russian Union of Industrialists and Entrepreneurs (RSPP) has been including Sistema as one of the leaders of its sustainable development, corporate responsibility and reporting indexes based on the quality of disclosure and key performance indicators related to sustainability and CSR.
In 2017, Sistema made it to Group A, which comprises 12 companies with the highest individual scores in the “Responsibility and Transparency” index; the Corporation and MTS were also among the top 24 companies in the “Sustainable Development Vector” index.
Social performance ranking
In 2018, AK&M Rating Agency included Sistema in the first social performance ranking of Russia's largest companies. The Corporation is ranked among the Top 15 best companies by social contribution per unit of environmental footprint, and the Top 20 companies for transparency in CSR and Sustainability issues. Sistema is No 4 in the manufacturing engineering, telecommunications, transportation and diversified businesses, while its portfolio company MTS leads the total ranking
According to the 5th annual nnational survey on corporate transparency of the largest Russian companies conducted in 2017 the Russian Regional Network on Integrated Reporting, Sistema is in the Top 3 for transparency in private business and the finance and investment sector, as well as in the Top 10 among listed and strategic companies. The Corporation demonstrated the highest level of corporate governance transparency among all enterprises included in the ranking and made it to the Top 15 in sustainable development, compliance with international standards and auditing of accounts.
Corporate Governance Index
According to the 2017 National Corporate Governance Index compiled by the centre for corporate development TopCompetence with the support of the Moscow Exchange, Sistema and its subsidiary MTS are among the top 10 companies with the best corporate governance practices.
Sistema's advanced corporate governance practice was confirmed by its high National Corporate Governance Rating (NCGR) of 23 April 2018.
CDP's Climate Score
In 2017, Sistema was for the first time assigned a D- score following the voluntary disclosure for the Carbon Disclosure Project (CDP), which is an average score among Russian companies that disclosed information on their impact on climate change according to CDP's methodology. A total of 18 out of the 40 largest Russian companies that received the request to provide relevant data to CDP's signatory investors submitted their reports on greenhouse gas emissions and climate issues management to this global disclosure system.
In 2017, Sistema became one of the top 5 companies in the annual ranking of Russia's leaders of corporate charity compiled by Vedomosti newspaper, the Donors Forum and PwC. The list includes 52 largest Russian and international companies that had a turnover of more than RUB 100m in 2016 and carry out charitable activities in Russia.