Malaysian SRI Index

Annual Performance

	Returns			Volatility			Sharpe Ratio	Treynor Index	Beta vs KLCI
	YTD	6 month	3 month	YTD	6 month	3 month	YTD	YTD	YTD
OWW SRI Index	16.15%	14.37%	9.97%	3.22%	3.93%	3.59%	1.25	1.21	0.95
KLCI	21.03%	16.21%	12.79%	2.97%	3.52%	3.44%	1.78	1.53	-

Benchmark Tracking Indicators vs. KLCI

	Correlation	Tracking Error
YTD	95.50%	1.04%
6 months	97.28%	0.88%
3 months	97.84%	0.75%

Index Structure, CSR Assessment and Reviews

OWW Consulting has created the first Socially Responsible Investment (SRI) Index in Malaysia. The OWW Responsibility^TM Malaysia SRI Index draws on Malaysian Public Listed Companies as the index universe. As a starting point, the index takes the Top 50 companies from the FTSE Bursa 100 Index and applies an assessment of their CSR performance to determine whether they can be considered as Socially Responsible Investments (SRI).

Responsibility SRI Index The OWW Consulting Malaysia CSR Rating is based on information in the public domain. The assessment is updated regularly as more information becomes available.

The constituent companies represent only a small sample of potentially eligible companies and the number and selection of constituents will change as more companies are assessed.

The Responsibility^TM Malaysia SRI Index provides the ideal basis for the creation of a more inclusive index for listed companies and for the creation of investment products such as Malaysia specific SRI Funds. It is hoped that the Responsibility^TM Malaysia SRI Index will be useful in attracting funds into Malaysia from international SRI investors as well as raising the general profile of CSR and SRI amongst Malaysian companies.

Index Standards

Selection of index constituents from the FTSE Bursa Malaysia Index Series ensures that stocks meet international standards in respect of liquidity, free-float adjustment and industry classification benchmarks (ICB).

The SRI Assessment Screen is based on OWW criteria which draw on international standards in CSR assessment customised to the Malaysia context in line with stakeholder views. The criteria are grouped as follows: -

Workplace: Management and Governance	Company structure and governance	Marketplace	Stakeholder engagement
	Financial stability and risk management		Supplier standards
	Transparency and reporting practice		Investor relations
	Planning processes		Consumer relations
	Performance measurement and monitoring		International Links
	Codes of conduct and enforcement		Domestic Sourcing
	Corruption and bribery policies and enforcement		Islamic Financing
Workplace: Employment	Employee practice and engagement		Joint Ventures & Partnerships
	Health and safety management	Environment	Environmental policy
	Human capital development including		Environmental management systems
	Worker satisfaction monitoring		Performance measurement and monitoring
	Remuneration policies		Environmental reporting
	Knowledge management	Community	Community and charity including
	Tolerance and diversity in the workplace		Contribution type and quantum
Workplace: Accreditation	Awards, acknowledgements		Human Rights policies
	Accreditation to international standards		Rakyat Policies
	Membership/Signatory of international bodies		Halal Accreditation
			Media monitoring and reporting

Each company’s performance is measured by scoring its response to questions in each category which are then weighted according to a unique set of Malaysia-specific criteria determined by OWW Stakeholder Research. The environmental criteria are weighted to differentiate between high, medium and low impact companies and different standards of environmental management are required in each case.

Index Management and Reviews

Index Universe	Bursa Malaysia Main Board Listed Companies
Index Start Date	3rd January 2006
Investment Screens	OWW CSR/SRI Assessment Criteria; size screen by market capitalisation, minimum free float criteria from public sources
Index Calculation	OWW Malaysia SRI Index is calculated daily but can be updated intra-daily on request
Review Dates	Constituents reviewed monthly; Overall Index reviewed semi-annually in December and June
Currency	Ringgit Malaysia; other currencies US$, euro, Sterling and Yen to follow
Base Data	Base Value = 1000; Base Date = 3rd January 2006