Bloomberg helps investors to evaluate ESG performance
Bloomberg has launched a proprietary environmental, social and governance score (ESG) to help investors quickly evaluate a company’s performance over a range of issues.
This included board composition scores for 4,300 companies in multiple industries and environmental & social scores for 252 oil & gas companies. Bloomberg said it had chosen this sector initially as there was “stronger disclosure data from these companies” and it would later be expanded to other industries.
The ES scores would provide a data-driven measure of corporate environmental and social performance that investors could use to quickly evaluate performance across a range of issues such as climate change and health & safety and assess company activities relative to industry peers.
The board composition score would be calculated based on how well a board is positioned to provide diverse perspectives and management supervision as well as any potential risks in the board structure.
Users would be able to examine both the scoring methodology and the underlying company data for each score.
Patricia Torres, global head of Bloomberg Sustainable Finance Solutions, said: “ESG data is critical to the investment process. We see an opportunity to provide transparent and complete scoring methodologies along with the underlying data in order to support investment and finance professionals make informed decisions.
“By providing transparent ESG data and scores, we are helping investors decode raw data that is otherwise hard to compare across companies. For corporates, these scores offer a valuable, quantitative and normalised benchmark that will easily highlight their ESG performance.”
AUTHOR
Laura Dew
Recommended for you
Having launched its first active ETF for Australian investors earlier this year, iShares says this has helped the firm reach $50 billion in assets under management in Australia.
Recommending Platinum shareholders to enact the merger with L1 Capital, Morningstar has said it expects the combined firm will be able to moderate outflows and facilitate diversity in product range.
Elanor Commercial Property Fund has appealed to the Takeovers Panel regarding the takeover offer by family office Lederer Group, describing “disclosure deficiencies” in last month’s bidders statement.
Wholesale distribution is experiencing the most active hiring efforts as the decline in financial advisers means fund managers are focusing on high-net-worth investors and wealth managers instead.
