Venture(US:VEMLY) Mei Ri Jing Ji Xin Wen·2025-05-20 01:56Core Viewpoint - The Shenzhen Stock Exchange has announced a revision to the ChiNext Index compilation scheme, introducing an ESG negative exclusion mechanism, which will take effect on June 16, 2025, to enhance the index's investability and reduce risks associated with companies rated below B in the national ESG rating system [1][2][3]. Group 1: ESG Negative Exclusion Mechanism - The introduction of the ESG negative exclusion mechanism aims to lower the probability of significant risk events among index constituents and control the impact of individual stocks on the index through a weight cap of 20% during periodic adjustments [2][3]. - This mechanism is expected to have a positive demonstration effect, encouraging companies to improve their ESG disclosure quality and raising awareness of ESG risks among investors [3][4]. Group 2: Impact on Companies - Companies listed on the ChiNext Index may face increased compliance costs in the short term due to the implementation of the ESG negative exclusion mechanism, especially those in emerging industries with weak ESG foundations [3][4]. - The ESG evaluation should not be viewed merely as a cost burden; rather, it helps companies and investors identify non-traditional risks, enhancing corporate resilience [4]. Group 3: Current ESG Disclosure Landscape - As of May 1, 2024, 2,455 A-share listed companies have disclosed independent ESG reports, representing 45.61% of the total, an increase of 3.75 percentage points from the previous year [6]. - The current focus should be on encouraging more companies to disclose ESG information, transitioning from voluntary to mandatory reporting over time, while ensuring the quality of disclosures improves gradually [6].