RegTech Insight Brief
ISS Tool Aims to Tame Labels and Standards Tangle
ISS ESG has launched a tool that the data provider hopes will help asset managers and owners navigate the complex field of sustainability reporting labels and standards. The new product, which became operational this month, will enable clients to comply with the reporting frameworks of standards setters the world over. In its initial iteration, the ISS ESG Labels and Standards Solutions will cover AMF, GreenFin, AFG, Nordic Swan, UNGC, Label SRI, Label Relance and Towards Sustainability (Febelfin) frameworks. Others will be rolled out later.
EDM Council Highlights Challenges to ESG Data Delivery
Data management industry group the EDM Council has outlined proposals it says will make delivering ESG data easier for rating providers and data aggregators (RPDAs). In the New York-based council’s second report into managing ESG data it said that RPDAs were experiencing specific challenges with ESG data that were not present in their other activities. In the report, the EDM Council identifies 11 challenges that need to be overcome, including a lack of harmonisation in reporting standards and gaps in the data record.
More Firms Submit Data for Bloomberg Gender Equality Index
A record number of companies offered data on gender equality for a key reference index, data giant Bloomberg said. The New York-based company’s Gender-Equality Index (GEI) now features 418 companies with a total market capitalisation of US$16 trillion. Constituents must file their data according to a GEI Framework, which scores companies on female leadership roles, equal pay, inclusivity, anti-sexual harassment policies and pro-women brands, Bloomberg said.
Arabesque Deal Seeks to Bring Sustainability to Property Sector
ABG Real Estate Group has bought a minority stake in data vendor and asset manager Arabesque as part of a strategy to create ESG solutions for the property market. Together the companies hope to introduce ESG measures and benchmarks for the construction and real estate sectors. Building firm Goldbeck has also invested into the partnership. By establishing criteria for sustainable projects, Germany-based ABG hopes to launch sector-based ESG funds, the company said.
Numis Extends Use of Torstone Platform for CSDR Compliance
UK investment bank Numis has extended its use of Torstone Technology’s Torstone Post Trade platform to manage its obligations under the Central Securities Depositories Regulation (CSDR). The Torstone Post Trade platform is a multi-asset, multi-entity cloud-based SaaS solution, covering electronic trade capture, allocation, confirmation, settlement, accounting, risk, corporate actions, reconciliation and regulatory reporting. Tim Valmas, Head of Technology at Numis says: “As CSDR implementation approaches, having a best-in-class solution that meets our obligations and gives us the flexibility to adapt to the regulation as it evolves is vital. As an existing user of Torstone Post-Trade, extending our use of the platform was a natural choice as it suits our needs, ensuring we are fully prepared for the incoming regulation.”
Dow Jones, ADC Unveil New ESG Data Services
The universe of ESG data services has expanded with Dow Jones and Amsterdam Data Collective (ADC) announcing the creation of new offerings for financial institutions. New York-based Down Jones will sell data sets comprising sustainability scores on more than 6,000 listed companies. The company said the service would also provide “uniquely news driven” data to supplement self-reported corporate information. Dutch data consultancy ADC said it has opened a new analytics practice that will focus solely on sustainability and climate change. The unit will be led by former Bank of England and ING consultant Julia van Huizen.
Qotingo Further Expands With Addition of RepRisk Data
Risk analytics and indexing platform Qotingo has added ESG risk data from RepRisk to its client offering. RepRisk’s artificial intelligence-backed analyses and ESG data will be available to users of Qotingo’s Axioma Portfolio Analytics (APA) platform. It will also be used to build indexes within Qotingo’s STOXX brands. This is Qontingo’s latest addition to its APA after earlier this month announcing the inclusion of feeds from Sustainalytics, ISS and Clarity AI.
RightShip Launches Carbon Accounting Tools for Cargo Vessels
Shipping risk assessment company RightShip has launched a carbon accounting suite of tools to calculate cargo vessel’s greenhouse gas (GHG) emissions. The Carbon Accounting Reporting Tool measures, monitors and benchmarks shipping-related emissions, which are thought to account for 3 per cent of total global GHG creation. The product comes as the European Union prepares to require financial institutions to report supply-chain emissions data as it continues to roll out its Sustainable Finance Disclosure Regulation.
ISSB Seeks Applicants to Fill 11 Seats
The search is on for members to sit on the IFRS Foundation’s recently created International Sustainability Standards Board (ISSB). The Foundation said it is looking for applicants to fill 11 seats on the ISSB, which is chaired by former Danone and Ryanair executive Emmanuel Faber. The board will eventually comprise 14 members including Faber and a vice chairman, who is to be selected soon. The creation of the ISSB – seen by many as major step towards creating a global set of standards for ESG reporting – was announced at the COP26 UN climate summit in November.
IBM Buys Environmental Performance Monitor Envizi
Envizi has been acquired by IBM, with the tech giant set to incorporate the environmental data and analytics provider’s software into its own suite of artificial intelligence-driven performance tools. Envizi’s solutions enable companies to measure their environmental impact based on 500 data points. New York-based IBM said the tech would build on its own tools for financial institutions – IBM Maximo asset management solutions, IBM Sterling supply chain solutions and IBM Environmental Intelligence Suite. It will also be incorporated into IBM’s Turbonomic and Red Hat OpenShift capabilities, which automate decision-making based on operational factors including greenhouse gas emissions.