Traditionally, companies have been assessed by their most tangible value, that is their financial performance. In the 21st century, however, there is a growing recognition that various intangible factors also create a corporate value.

Sustainability, a comprehensive term including economic, environmental, and social aspects, is now conside-
red as an essential element in assessing corporate value.

Since the late 1990s, various methods have been developed to evaluate latent risks and opportunities related to corporate sustainability. Indeed, many financial institutions, mainly pension funds, are now considering sustainability rating result seriously when constructing their investment portfolios.

The United Nations has also taken a leading role in promoting sustainability investment by launching 'Principles for Responsible Investment' in April 2006, and over 150 financial institutions worldwide with total assets over $5 trillion have proclaimed to consider sustainability in their activities by signing the Principles.

Eco-Frontier has formed a partnership with RiskMetrics Group(Innovest), a leading organization in sustainability rating and investment advisory services, and performs sustainability rating for domestic companies so that their environmental and social performance can be reflected in corporate value assessment. We provide our rating information to domestic and foreign investors as well as industries, and also use our rating database to provide various services, such as benchmarking leading companies, developing sustainability investment funds, and advising on fund management strategy.

Sustainability Rating
We provide domestic and foreign investors with sustainability rating information using two rating models developed by RiskMetrics Group Strategic Value Advisors: EcoValue21TM, which assesses a company's sustainability in environmental aspects, and IVATM, which assesses social aspects.

Global Sustainability Benchmarking Service
In cooperation with RiskMetrics Group Strategic Value Advisors, we provide companies and investors with company profiles and sector reports covering over 2,200 companies in over 60 sectors, and industry-specific global benchmarking reports using EcoValue21TM and IVA™

Sustainability Investment Funds Development and Management Strategy Consulting
We offer various services for sustainable investment funds, including fund development, policy and process development, and rating methodology education.

Sustainability rating is a rating method that evaluates a company's management strategies and operations based on its soundness and transparency in terms of its social, environmental and economic performance.

In other words, sustainability rating evaluates company's sustainability management capabilities in the environmental, social and economic aspects and company's commitment to the environmental, social and economic responsibilities in its operations and throughout its value chain.

Eco-Frontier, in partnership with RiskMetrics Group Strategic Value Advisors, conducts corporate sustainability rating by using two rating models developed by RiskMetrics Group: EcoValue21TM for environmental aspects and IVATM (Intangible Value Assessment) for social aspects.

RiskMetrics Group's rating methodologies are used when selecting Global 100 sustainable companies (www.global100.org), which is announced at World Economic Forum (Davos Forum), since 2005 and are also employed by world's leading financial institutions, such as ABP, CalPERS, etc., for sustainability consideration in their investment decision making.

EcoValue21™ is a model for environmental rating developed over 3 years by RiskMetrics Group Strategic Value Advisors in cooperation with its strategic partners, including PwC (PriceWaterhouseCoopers), Morgan Stanley, and WBCSD (World Business Council for Sustainable Development). Its usefulness has been proved by leading financial institutions including Morgan Stanley, Chase Manhattan Bank, Bank of America, Union Bank of Switzerland, and Zurich Insurance Group.

EcoValue21™ provides a relative-scale assessment against some 60 criteria that reflect industry characteristics. Rating is granted in 7 grades from AAA to CCC.

IVA™ rating model consists of over 60 elements in areas of Sustainability Management Strategy, Corporate Governance, Human Capital Management & Development, Stakeholder Relationship, Products & Services, and Emerging Market Strategy. Companies are assessed against each element and then these elements are integrated with appropriate weights to decide one of seven grades between AAA and CCC.