Socially responsible investors evaluate environmental, social, and governance (ESG) factors, as well as financial performance, in making investment decisions. HP is among the top 15 companies most widely held by socially responsible investor (SRI) funds, and there are more than 100 SRI funds that hold HP shares.1

Worldwide, socially responsible investors comprise a growing proportion of the investment community. According to Social Investment Forum, almost one out of every eight dollars under professional management in the United States is invested with consideration of ESG factors—that's 12.2% of the $25.2 trillion USD in total assets under management.2 Since 2006, the number of signatories to the Principles for Responsible Investment (PRI), an investor partnership with the United Nations Environment Programme Finance Initiative and the UN Global Compact, has grown from 50 to more than 750, representing $22 trillion USD in assets and 45 countries.3

Although much of the focus of socially responsible investors is on risk mitigation, there is momentum behind investing in companies well-positioned to capitalize on opportunities related to creating a more sustainable economy. For example, more than 40% of respondents in PRI's annual Reporting and Assessment survey, an analysis of almost 300 global pension funds and fund manager signatories, said they invest in areas including microfinance, sustainable forestry, and clean technologies.4

Mainstream investors are also evaluating ESG factors that may impact the performance of their investment, specifically in identifying and mitigating risks, planning for long-term growth, and delivering strong financial returns.

Illustrating this trend, Bloomberg global financial information network launched a service in 2009, making ESG data from more than 2000 companies available via its 250,000 data terminals worldwide. Many analysts noted this as a signal that mainstream investors are requiring expanded access to this type of information.

This growing emphasis is influencing whether and how companies monitor and disclose performance across a broad range of global citizenship issues. For example, in 2010 an international investor coalition representing 13 countries and managing more than $2.1 trillion USD of assets, urged 86 major companies to honor the reporting requirements of the United Nations Global Compact. (HP was not among this group, as we are already a signatory).5

We expect that providing information about HP's global citizenship performance demonstrates that HP is an attractive long-term investment, which encourages investment in HP and facilitates access to capital.

Analysts from socially responsible investment firms and other investment-focused organizations regularly report on HP's performance. HP ranked highly with socially responsible investment analysts, media, and other organizations in 2010, as outlined below.

2010 ranking or rating
Carbon Disclosure Project (CDP)
In 2010, HP scored 66 of 100 possible points, earning a "B" grade on the CDP Carbon Disclosure Leadership Index. This is lower than HP's score of 89 in 2009, despite HP's continued efforts to demonstrate business leadership in addressing climate change and provide a high level of transparency regarding the impact of our operations.
Dow Jones Sustainability Index (DJSI)
HP is one of six companies listed as a leader in both the DJSI World and North America indexes in the Computer Hardware and Electronic Office Equipment sectors.
FTSE4Good HP is included in all four FTSE4Good indices for the eighth consecutive year.
Oekom Research
HP continues to be rated "Prime," which indicates that it is among the leaders in the information technology industry and meets the industry-specific minimum requirements defined by Oekom Research.
  1. 1 Ipreo.
  2. 2 2010 Report on Socially Responsible Investing Trends in the United States, Social Investment Forum,
  3. 3 Annual Report of the PRI Initiative, Principles for Responsible Investment, 2010.
  4. 4 Report on Progress, Principles for Responsible Investment, 2010.
  5. 5 Investors step up pressure on corporate responsibility reporting. Social Investment Forum, February 2010.