Core Insights - ESG has become a core issue for high-quality development of A-share listed companies amid deepening global sustainable development agendas and strengthening domestic and international regulatory policies [1][16] - A-share ESG practices in 2024 show strong policy-driven momentum, gradual deepening of practices, but still have shortcomings [1][2] Policy Landscape - The domestic regulatory framework for ESG is continuously improving, with ESG being incorporated into national strategic frameworks and mandatory disclosures set to begin in 2026 for certain companies [1][18] - International standards such as ISSB and CSRD are promoting standardized disclosures, while major overseas markets are tightening compliance requirements for cross-border operations [1][23] Practice Performance - There is a positive correlation between ESG practices and corporate value, with significant relationships observed between ESG ratings and return on assets (ROA) and return on equity (ROE) [1][38] - The disclosure rate of sustainability reports reached 45.85%, a significant increase from the previous year, with larger market capitalization and state-owned enterprises showing a stronger willingness to disclose [1][2] Strategic and Governance Aspects - Only 9.31% of listed companies fully articulate their ESG strategies, with 82% lacking any related strategy, indicating a predominance of basic-level practices and a scarcity of excellence [2][18] - Governance structure establishment rate is at 34.84%, with board-led governance becoming mainstream, but linking ESG to executive compensation remains concentrated in specific industries [2][18] Risk and Opportunity Management - 71.84% of companies conduct ESG risk identification, with industrial and information technology sectors being high-risk areas, yet only 32% identify climate-related risks and opportunities [2][18] - The application rate of scenario analysis is below 14%, indicating weak capability in opportunity identification [2][18] Sector-Specific Developments - Sustainable supply chain management is gradually advancing, with over 20% of suppliers in most industries establishing ESG assessment mechanisms [2][18] - Human resource management focuses on diversity, inclusion, and health safety, with an average female employee ratio of 33.2% [2][18] - The sustainable finance market is steadily developing, with green bonds as a core pillar and the scale of ESG public funds and bank wealth management gradually recovering [2][18] Overall Assessment - The development of ESG in A-shares has transitioned from conceptual advocacy to institutional implementation, yet challenges remain in strategic system completeness, uneven disclosure quality, and insufficient depth in specific practices [2][18] - Future efforts should focus on strengthening policy coordination, improving governance mechanisms, and enhancing data credibility to transform ESG from compliance costs into long-term competitive advantages [2][18]

Investment Rating - The report does not specify an explicit investment rating for the industry [2]. Core Insights - The National Energy Administration has issued guidelines to promote integrated development in the new energy sector, aiming to create a more resilient, efficient, and sustainable energy development model. This includes opportunities in areas such as the integration of new energy with computing infrastructure and the development of green hydrogen and ammonia [11][12]. - Brazil's political figure highlighted the potential for cooperation with China as a pathway to sustainable development, emphasizing China's efforts in environmental improvement and carbon reduction [3][17]. - The report tracks the issuance of ESG financial products, noting that as of November 15, 2025, there are 3,746 ESG bonds with a total value of 5.63 trillion RMB, of which green bonds account for 61.92% [4][27]. - The report also indicates that the ESG public fund market consists of 942 products with a total net value of 116.01 billion RMB, with ESG strategy products making up 45.15% of this total [4][32]. - Major ESG indices have shown varied performance, with the Shenzhen ESG 300 index experiencing a decline of 0.79% recently, while the 300 ESG Leading index saw an increase of 0.38% [5][38]. Summary by Sections Domestic Highlights - The National Energy Administration's guidelines emphasize multi-dimensional integration in new energy development, including collaboration with various industries and non-electric applications [11]. - Shenzhen's measures to support the green low-carbon industry include 11 specific initiatives aimed at high-quality development [12]. - The National Development and Reform Commission has set a target for at least 200 million kilowatts of new energy consumption annually, focusing on collaboration with computing and storage technologies [13]. - A pilot program for carbon footprint labeling has been initiated in Shandong, targeting specific industries for carbon footprint management [14]. - The world's largest green ammonia project is being developed in Jilin Province, showcasing a new paradigm for renewable energy commercialization [15][16]. International Highlights - Brazil's political figure emphasized the importance of collaboration with China for sustainable development during the COP30 conference [3][17]. - The "Belt and Road" initiative has expanded its international cooperation mechanism to include 34 countries, enhancing disaster prevention and emergency management [18]. - The U.S. Chamber of Commerce is seeking to halt California's new climate reporting law, arguing it infringes on free speech rights [19]. - The EU is negotiating with the UK to link their carbon markets, marking a significant step in post-Brexit environmental policy alignment [20][21]. ESG Financial Products Tracking - As of November 15, 2025, the ESG bond market includes 3,746 bonds with a total value of 5.63 trillion RMB, with 826 billion RMB issued in the current month [4][27]. - The ESG public fund market consists of 942 products with a total net value of 116.01 billion RMB, with 236 new funds issued in the past year [4][32]. - The ESG bank wealth management market includes 1,157 products, with pure ESG products making up 54.19% of the total [4][37]. Index Tracking - Major ESG indices have shown mixed performance, with the Shenzhen ESG 300 index down 0.79% recently, while the 300 ESG Leading index increased by 0.38% [5][38]. - Over the past year, the Shenzhen ESG 300 index has risen by 15.9%, while the CSI 300 ESG Leading index has increased by 11.34% [5][38]. Expert Opinions - The World Economic Forum's sustainable finance head noted that ESG discussions have shifted from theoretical to practical capital deployment, emphasizing the importance of long-term value creation and risk management [6][40].

Group 1 - The white paper titled "China's Actions on Carbon Peak and Carbon Neutrality" was recently released by the State Council Information Office, outlining six key sections related to carbon neutrality efforts [1] - Significant achievements have been made in China's green and low-carbon energy transition, emphasizing the implementation of renewable energy and the establishment of a new energy system while ensuring energy security [1] - As of now, China has issued 3,725 ESG bonds, with a total outstanding amount of 5.61 trillion RMB, where green bonds account for the largest share at 61.80% [1] Group 2 - The market currently has 940 existing ESG products, with a total net value of 11,564.34 billion RMB, and ESG strategy products represent the largest share at 45.30% [3] - In the past year, 234 ESG public funds were issued, totaling 1,582.65 billion shares [3] - Major ESG indices have shown varying performance, with the CSI 300 ESG Leading Index outperforming the market, while others lagged behind, indicating mixed results in ESG investment performance [3]

Core Insights - The latest ESG public fund weekly ranking indicates a significant decline in overall fund returns compared to the previous period, with pure ESG theme funds and broad ESG theme products showing a stark divergence in performance [1] Fund Performance Summary Overall ESG Fund Performance - The average return for pure ESG theme active funds was -0.9%, while index funds in the same category saw a return of -1.74% - Broad ESG theme active funds had an average return of 0.77%, and index funds returned 0.1% [1] Top 10 ESG Funds - The top-performing ESG funds for the week include: - Tianzhi Low Carbon Economy Fund with a weekly return of 3.94% - Donghai Beautiful China Fund with a weekly return of 1.41% - Shenwan Lingshin Global New Energy A Fund with a weekly return of 1.29% [2] Top 10 Active ESG Theme Funds - The leading active ESG theme funds are: - Zhonghang Ruihua ESG One-Year Open A Fund with a weekly return of 0.24% - Zhonghang Ruin ESG One-Year Open Bond A Fund with a weekly return of 0.23% - Jiashi Yangtze River Delta ESG Pure Bond Fund with a weekly return of 0.16% [3] Top 10 Broad ESG Theme Active Funds - The top broad ESG theme active funds include: - Tianzhi Low Carbon Economy Fund with a weekly return of 3.94% - Donghai Beautiful China Fund with a weekly return of 1.41% - Shenwan Lingshin Global New Energy A Fund with a weekly return of 1.29% [4] Top 10 ESG Theme Index Funds - The leading ESG theme index funds are: - ICBC CSI 180 ESG ETF with a weekly return of -0.88% - Rongtong CSI Chengtong Central Enterprise ESG ETF with a weekly return of -1.65% - Fortune CSI 300 ESG Benchmark Fund with a weekly return of -1.73% [5] Top 10 Broad ESG Theme Index Funds - The top broad ESG theme index funds include: - Jiao Yin 180 Governance ETF with a weekly return of 0.17% - LUBOM CFETS 0-5 Year Climate Change Bond Index with a weekly return of 0.17% - Jiao Yin 180 Governance ETF Connector with a weekly return of 0.16% [6] Fund Classification - ESG funds are categorized into two main types: ESG theme funds and broad ESG theme funds, further divided into active and index funds - The weekly ranking includes four categories: ESG theme active funds, ESG theme index funds, broad ESG theme active funds, and broad ESG theme index funds [7]

Investment Rating - The report maintains a positive outlook on the ESG industry, indicating a "Look Forward" rating for the sector [3]. Core Insights - The G20 Environment and Climate Sustainability Ministerial Meeting held in Cape Town focused on biodiversity protection, climate change, land degradation, waste management, air quality, and marine environment protection. China emphasized its commitment to global environmental governance and green development [3][12]. - The issuance of ESG bonds in China has reached 3,685, with a total outstanding amount of 5.61 trillion RMB, where green bonds account for 62.04% of the total. In the past month, 36 ESG bonds were issued, totaling 27.5 billion RMB [5][23]. - The market currently has 936 ESG public funds with a total net asset value of 1,035.32 billion RMB, where ESG strategy products represent 50.41% of the total. No new ESG public funds were issued in the last month [5][32]. - The report highlights the performance of major ESG indices, noting that all indices except for the 300ESG Leading Index underperformed the market recently, with the largest decline being 3.58% for the Wind All A Sustainable ESG Index [6][38]. - Zhang Zhengwei, a special advisor to the ISSB chairman, stated that China is entering a new phase of high-quality development in sustainable information disclosure, which is expected to reveal high-quality investment opportunities [7][40]. Summary by Sections Domestic Highlights - The G20 meeting emphasized China's role in global environmental governance and its achievements in improving air quality, forest resource cultivation, and renewable energy development [3][12]. - The launch of Hubei's ecological environment rights trading platform aims to streamline green transition solutions for enterprises [13]. - The National Energy Administration announced the first batch of hydrogen energy pilot projects, supporting 41 projects across various regions [14]. - The National Development and Reform Commission will support projects related to green methanol and sustainable aviation fuel production [15]. International Highlights - The International Maritime Organization (IMO) postponed the vote on the "Net Zero Framework" for one year, allowing member states to reach a consensus [4][18]. - Singapore and Australia have agreed to enhance cooperation on sustainable aviation fuel and biofuels, marking a significant step in green aviation development [19][20]. ESG Financial Products Tracking - The report details the issuance and performance of ESG bonds, public funds, and bank wealth management products, highlighting the dominance of green bonds and ESG strategy products [5][23][32][37]. Index Tracking - Major ESG indices have shown varied performance, with the Wind All A Sustainable ESG Index experiencing the largest decline over the past week [6][38]. Expert Opinions - Zhang Zhengwei emphasized the importance of high-quality sustainable information disclosure in identifying investment opportunities, reflecting China's unique advantages in market scale and talent resources [7][40].

Investment Rating - The report maintains a positive outlook on the industry, indicating a "Look Forward" rating for the sector [52]. Core Insights - President Xi Jinping emphasized the importance of green and low-carbon transformation during the UN Climate Change Summit, marking a critical phase in global climate governance [3][13]. - China aims to reduce greenhouse gas emissions by 7%-10% from peak levels by 2035, with non-fossil energy consumption exceeding 30% of total energy consumption [3][13]. - The report highlights significant growth in ESG financial products, with a total of 3,686 ESG bonds issued, amounting to 5.62 trillion RMB, and a notable issuance of 1,137 billion RMB in the past month [5][23]. - The ESG public fund market consists of 930 products with a total net value of 10,325.66 billion RMB, indicating a strong market presence [33]. - Major ESG indices have outperformed the market, with the Wind All A Sustainable ESG index showing a 33.02% increase over the past year [40]. Summary by Sections Domestic Highlights - Xi Jinping's speech at the UN Climate Change Summit underlined the need for international cooperation and support for developing countries in achieving green transformation [3][13]. - The signing of 23 key projects in Wuhan is expected to drive over 6.7 billion RMB in investments in the dual-carbon industry [14]. - Hubei's carbon trading market expansion plan aims to include non-industrial sectors and enhance market liquidity [15]. International Highlights - India plans to invest 5.7 billion USD to support decarbonization in the steel industry, particularly targeting small steel producers [4]. - The U.S. government is seeking a 10% stake in Lithium Americas, aiming to secure rights to the largest lithium mine in the country [19]. - Barclays Bank signed a significant carbon reduction agreement with UNDO to advance carbon removal technologies in Canada [20]. ESG Financial Products Tracking - The report details the issuance of 136 ESG bonds in the past month, with a total issuance of 1,111 bonds over the last year, amounting to 12,495 billion RMB [5][23]. - The public fund market has seen 255 ESG public funds issued in the past year, with a total issuance of 1,778.14 billion units [33]. Index Tracking - As of September 26, 2025, major ESG indices have consistently outperformed the market, with the Wind All A Sustainable ESG index showing the highest growth [40]. Expert Opinions - Experts predict that China's service exports will increasingly focus on high-tech, high-value, and sustainable development, with digital trade and green services becoming key growth areas [42].

Core Insights - The article discusses the performance of ESG public funds, highlighting that all funds listed in the latest weekly ranking experienced gains, with a notable lead from broad ESG-themed funds [1] - Active ESG-themed funds achieved an average weekly return of 7.57%, while index funds had an average return of 2.92% [1] - Pure ESG-themed active funds reported an average weekly return of 3.14%, and index funds saw an average return of 1.58% [1] - The concentration in the broad ESG-themed index fund sector is high, with all listed funds related to the new energy vehicle industry, achieving an average return of 30.96% over the past three months [1] Fund Performance Summary Broad ESG-Themed Funds - The top-performing broad ESG-themed active funds include: - 嘉实绿色主题A with a weekly return of 9.25% and a three-month return of 38.92% [2] - 中加低碳经济六个月持有A with a weekly return of 8.9% and a three-month return of 77.62% [2] - 国投瑞银新能源A with a weekly return of 8.28% and a three-month return of 68.3% [2] ESG-Themed Active Funds - The top-performing ESG-themed active funds include: - 财通可持续发展主题 with a weekly return of 5.44% and a three-month return of 66.18% [5] - 博时ESG 量化选股A with a weekly return of 4.15% and a three-month return of 24.41% [5] - 兴证全球可持续投资三年定开 with a weekly return of 3.9% and a three-month return of 24.26% [5] ESG-Themed Index Funds - The top-performing ESG-themed index funds include: - 中金中证500ESG基准指数增强A with a weekly return of 2.9% and a three-month return of 25.63% [7] - 融通中证诚通央企ESGETF with a weekly return of 2.28% and a three-month return of 13.78% [7] - 财通中证ESG100指数增强A with a weekly return of 1.53% and a three-month return of 13.66% [7] Broad ESG-Themed Index Funds - The top-performing broad ESG-themed index funds include: - 华宝中证智能电动汽车ETF with a weekly return of 3.16% and a three-month return of 27.58% [9] - 浦银安盛中证智能电动汽车ETF with a weekly return of 3.11% and a three-month return of 26.24% [9] - 易方达中证智能电动汽车ETF with a weekly return of 3.07% and a three-month return of 27.75% [9]

Core Insights - The latest ESG public fund weekly ranking indicates a divergence in performance between broad ESG theme funds and pure ESG funds, with broad ESG index funds showing significant gains while pure ESG funds struggled [1] Fund Performance Summary Overall ESG Fund Performance - The observation period for the latest ESG public fund weekly ranking was from September 1 to September 5, with the latest net values as of September 5 [1] - Pure ESG theme index funds saw four funds decline, contrasting with previous weeks where all funds had positive returns [1] Broad ESG Theme Funds - Broad ESG index funds achieved an average return of 11.31%, while broad ESG actively managed funds had an average return of 10.02% [1] - In contrast, pure ESG actively managed funds had an average return of 0.95%, and pure ESG index funds only managed a return of 0.05% [1] Top Performing ESG Funds - The top 10 ESG funds by weekly return included: - 华夏创业板新能源ETF with a weekly return of 13.13% [2] - 国泰创业板新能源ETF with a weekly return of 12.89% [2] - 汇丰晋信低碳先锋A with a weekly return of 12.79% [3] - The top 10 actively managed ESG theme funds showed lower returns, with 易方法ESG责任投资 at 2.21% [3] Index Fund Performance - The top 10 ESG index funds had minimal returns, with 博时可持续发展100ETF at 0.59% [5] - Broad ESG index funds also showed limited performance, with the highest being 华夏创业板新能源ETF at 13.13% [5] Fund Classification - ESG funds are categorized into two main types: ESG theme funds and broad ESG theme funds, further divided into actively managed and index funds [6] - The weekly ranking includes four categories: ESG theme actively managed funds, ESG theme index funds, broad ESG theme actively managed funds, and broad ESG theme index funds [6]

Global ESG Trends - The global ESG landscape continues to show divergence, with a reported net outflow of $8.6 billion from sustainable funds in Q1 2025, marking the tenth consecutive quarter of outflows in the U.S. and the first outflow in Europe since 2018 [2][21] - As of Q1 2025, the total size of global sustainable funds reached $3.16 trillion, with the U.S. experiencing a net outflow of $6.1 billion and Europe $1.2 billion [2][21] Europe: Regulatory Framework - The EU has established a comprehensive ESG information disclosure framework, including the EU Taxonomy, Corporate Sustainability Reporting Directive (CSRD), and Sustainable Finance Disclosure Regulation (SFDR) [3][4] - The CSRD will be fully implemented by July 2024, requiring large companies and listed firms to disclose "double materiality" data, which includes the financial impact of environmental factors and the company's impact on the environment [4][6] United States: Political and Regulatory Challenges - The U.S. ESG landscape is marked by political division, with federal policies regressing under the Trump administration and states like California and New York pushing for stricter ESG disclosures [8][9] - The SEC's climate-related disclosure rules have faced legal challenges, leading to a decrease in ESG shareholder proposals by 34% in 2025 [9][10] China: Practical Approach to ESG - China's approach to ESG is characterized by a pragmatic strategy linked to national development goals, focusing on energy independence and supply chain resilience [10][11] - By May 2025, China's cumulative installed solar capacity surpassed 1,080 million kilowatts, accounting for over 40% of the global total, while the sales of new energy vehicles reached 5.608 million units, representing 68.3% of global sales [11][12] ESG Investment Products in China - The number of ESG investment products continues to rise, but the scale is beginning to shrink, with the total size of ESG public funds at approximately 504.59 billion yuan as of June 2025, down from 572.6 billion yuan in 2024 [22][21] - Despite the overall decline in scale, over half of passive ESG equity index funds have outperformed the market, and more than 80% of passive ESG bond index funds have shown stable returns [21][38] ESG Reporting and Disclosure in China - As of June 2025, 46.1% of A-share listed companies have published ESG reports, with a notable increase in disclosure rates among large firms [14][16] - The quality of ESG reports has improved, but issues of "formalistic disclosure" remain prevalent, particularly among smaller companies [18][19] Performance of ESG Funds - ESG public funds have shown mixed performance, with a one-year average return of 8.55%, which is on par with the overall public market, but a three-year average return of -20.20%, indicating underperformance [35][36] - In contrast, ESG bond funds have demonstrated more stability, with average returns of 1.11% over the past year and 2.98% over three years [37]

Investment Rating - The report does not specify an explicit investment rating for the industry [2] Core Insights - The State Administration of Foreign Exchange has initiated a pilot program for green foreign debt in 16 provinces and cities, encouraging non-financial enterprises to use cross-border financing for green or low-carbon transformation projects [12] - The European Central Bank President warned against diluting the requirements for sustainable development reporting, emphasizing the importance of maintaining robust regulations to manage climate risks in the financial system [20] - The issuance of ESG bonds in China has reached 3,635, with a total outstanding amount of 5.59 trillion RMB, where green bonds account for 61.81% of the total [29] - The market for ESG public funds consists of 914 products with a total net asset value of 10,222.16 billion RMB, with ESG strategy products making up 50.32% of the total [35] - Major ESG indices have shown positive growth, with the WanDe All A Sustainable ESG index increasing by 35.32% over the past year [42] Summary by Sections Domestic Highlights - The State Administration of Foreign Exchange has launched a green foreign debt pilot in 16 provinces, promoting the use of funds for green projects [12] - The China Sustainable Aviation Fuel Industry Alliance was established, with a dedicated policy for SAF development, planning to invest over 100 million RMB in three years [14] International Highlights - The European Central Bank's President cautioned against reducing sustainable reporting requirements, which could hinder the management of climate risks [20] - BlackRock's GIP is set to acquire a 49.99% stake in Eni's carbon capture business, part of a broader strategy to fund these operations [21] ESG Financial Products Tracking - As of August 23, 2025, 3,635 ESG bonds have been issued in China, with a total issuance amount of 12,541 billion RMB in the past year [29] - The market has 914 ESG public fund products, with a total net asset value of 10,222.16 billion RMB [35] - The total number of ESG bank wealth management products stands at 1,075, with pure ESG products making up 55.44% of the total [41] Index Tracking - Major ESG indices have shown positive performance, with the WanDe All A Sustainable ESG index increasing by 4.22% recently [42] Expert Opinions - The report highlights the potential for banks to innovate in personal green finance, such as through carbon accounts and green consumption initiatives [43]