MSCI Buys First Street to Bolster Climate Risk Data Offering

MSCI has acquired physics-based climate risk data and analytics provider First Street as it seeks to enhance its climate risk capabilities.

The US$120 million transaction coms as as financial institutions demand physical climate risk data embedded into workflows to inform decision-making during accelerating global climate risks, MSCI said.

“The integration of First Street data into MSCI’s existing geospatial capabilities will enable clients to be better informed about their changing risk exposures and translate that directly into financial decision-making,” Richard Mattison, head of sustainability and climate at MSCI, said,

First Street provides multi-hazard models that incorporate climate signals to assess physical risk exposure, asset damage and business interruption.

The transaction is expected to close in the third quarter and builds upon MSCI’s previous developments in geospatial intelligence, climate scenario analysis and transition finance.