ESG Post

Corporate Governance

Singapore Governance and Transparency Index (SGTI) released

Leading airport services provider, SATS, grabbed the top spot in the annual governance and transparency index assessment of Singapore-listed companies.

The Singapore Governance and Transparency Index (SGTI) evaluates companies based on their corporate governance disclosures and practices, as well as the timeliness, accessibility, and transparency of their financial results announcements.

SGTI covered 477 companies in general category and 43 companies in REITs and business trust category.

SATS, with an overall SGTI score of 118, topped the list in the general category followed by City Developments (112), United Overseas Bank (111), and Singapore Telecommunications and Keppel (each having 108 points).

The REIT and business trust category was led by Capitaland Ascott Trust (104 points) followed by CDL Hospitality Trusts (102.8), Capitaland Ascendas REIT (102), Capitaland Integrated Commercial Trust (101.5) and Netlink NBN Trust (101).

The SGTI score has two components: the base score and the adjustment for bonuses and penalties. The base score contains 5 domains: board responsibilities (35 points), rights of shareholders (10 points), ESG and stakeholders (20 points), accountability and audit (10 points), and disclosure and transparency (25 points). The aggregate of the bonuses and penalties (positive or negative) is incorporated into the base score to arrive at the company’s overall SGTI score.

The SGTI is a joint initiative of CPA Australia, NUS Business School’s Centre for Governance and Sustainability (CGS), and the Singapore Institute of Directors, supported by The Business Times.