Asian Journal of Research in Business Economics and Management

It's high time that Indian companies today to shift their focus from single bottom line of earning profit to a triple bottom line such as profit, planet and people. Along with the economic objective, the fulfillment of Social and environmental objectives are equally important. The corporate houses need to understand that they cannot sustain for a long run in society without catering to the needs of the society in which they operate and without fulfilling the urgent demands of the environmental requirements which offers the resources to survive. Rapid industrialization, deforestation and disproportionate growth of cities may damage the ecological balance of the planet which leads to Air pollution, water stress and global warming etc. So all the stake holders including the investors are concerned for company's involvement in sustainable development practices. It has been observed in the present study that the S & P BSE Greenex index which is formed with 25 Companies who are engaged in green initiatives, have performed better than the BSE Sensex. This indicates the preference of investors for environment friendly companies. The second part of the study is based on the issues related to sustainability reporting in India as per GRI standards. Though regulatory norms are in place with respect to mandatory spending in CSR activity or Business responsible reporting for top 100 listed companies, but this much initiative is not enough to protect the planet from the adverse impact of Climate change. The study found that only 104 companies have taken initiatives to publish sustainability reports as per GRI guideline in the last 10 years, out of which only 60 companies show consistency in the last two years. As far as investors sentiments are concerned, the green initiative index have outperformed the market index portfolio in the last 27 months.