Jantzi-Sustainalytics began work on the Jantzi Social Index in 1998. The first step in developing the JSI^® was to determine what environmental, social, and governance criteria would be used to evaluate Canadian companies.

In addition to utilizing in-house expertise, Jantzi-Sustainalytics created an advisory committee to provide assistance in this important task.

The JSI advisory committee was comprised of six individuals, each of whom brought knowledge of, and commitment to, socially responsible investing and corporate social responsibility. Advisory committee members also represented a tremendous pool of talent with professional experience in a variety of areas. In addition to Michael Jantzi and Kevin Ranney, a Managing Partner at Jantzi-Sustainalytics, the JSI advisory committee members were:

Jantzi-Sustainalytics defined JSI rating criteria, which were based on our environmental, social, and governance framework for analysing SRI performance and risk in the Canadian Social Investment Database. Through this methodology we ensured that no company with significant involvement in the production of nuclear power, tobacco products, or weapons-related contracting would become part of the JSI. Also, the criteria helped us identify companies whose records in the areas of aboriginal relations, community involvement, corporate governance, employee relations, environment, and human rights was positive so they could be included. Importantly, a relatively poor record in one of these areas did not necessarily eliminate a company from JSI contention.

Once the rating framework was developed, Jantzi-Sustainalytics set out to determine which companies would be included in the JSI. With assistance from State Street Global Advisors in Montreal, Jantzi- Sustainalytics decided to model the JSI on the S&P/TSX 60 (then the S&P/TSE 60).

Jantzi-Sustainlytics analysed the environmental, social, and governance records of the S&P/TSE 60 companies using the newly developed JSI criteria. Seventeen companies were eliminated from JSI contention during this process. Jantzi-Sustainalytics then analysed the companies in the S&P/TSX Composite Index (then the TSE 300) that were not part of the S&P/TSE 60, looking for a combination of large market capitalization and industry representation. In addition to suitability with respect to liquidity and sector representation, the 16 equities selected demonstrated an environmental/social/governance record that passed the JSI rating criteria as well. As the last step in the process, Jantzi-Sustainalytics sought to include companies in the JSI that had exceptional social characteristics. Husky Injection Molding Systems was the only non-TSE 300 company chosen for inclusion in the JSI. It subsequently was added to the TSE 300.