Sustainalytics, a global leader in ESG research, ratings and analytics, today announced the release of its Global Standards Screening product and its Global Standards Engagement service. This marks the first harmonization of best in class products and services resulting from Sustainalytics’ January 2019 acquisition of GES International, a leading global provider of engagement, screening and fiduciary voting services to institutional investors.
With Sustainalytics’ Global Standards Screening product, investors can screen on over 20,000 companies that might be involved in serious incidents and assess their impact on stakeholders and the environment as it relates to internationally accepted norms and standards. According to industry sources, $4.7 trillion in responsible investment assets are managed according to and aligned with norms-based screening processes.
The strategy is critically important for institutional investors that seek to identify companies not operating in accordance with internationally accepted norms and standards. Leveraging Sustainalytics’ Global Standards Screening, investors can make more informed investment decisions, proactively manage potential reputational and financial risks, and respond to responsible investment mandates.
“We are delighted to launch our enhanced norms-based screening product, which builds on the long and successful track records of both our organizations,” said Remco Slim, Sustainalytics’ Manager of Product Strategy and Development. “By focusing on a broad set of internationally-recognized global standards, Sustainalytics’ Global Standards Screening product can help investors to ensure their holdings align with global norms.”
Sustainalytics’ Global Standards Screening evaluates companies’ compliance with the United Nations’ Global Compact Principles, which cover areas including human rights, labor, business ethics and the environment. Companies are assessed as either Non-Compliant, Watchlist or Compliant with the Principles. In addition, the screening product offers investors insight on related global standards, including the Organisation for Economic Co-operation and Development’s (OECD) Guidelines for Multinational Enterprises and the UN Guiding Principles on Business and Human Rights. Sustainalytics’ company assessments are based on the severity of impact, company responsibility and company management.
Sustainalytics’ Global Standards Screening research underpins its Global Standards Engagement service, where the firm engages with Non-Compliant and Watchlist companies on behalf of investors. The aim of this collective engagement is to help improve a company’s ESG performance and risk management. Global Standards Screening and Global Standards Engagement are offered separately or as a packaged solution.
To learn more about Sustainalytics’ Global Standards Screening product and Global Standards Engagement service, please click on the respective links.