As noted in the previous newsletters, FactSet released a comprehensive ESG report (Company/Security > ESG) that enables the comparison of ESG metrics across vendors for individual companies.
New additions to the report include:
Internal ESG Scores
Clients have the ability to enter their own custom ESG scores through a proprietary mapping table and/or subscription to FactSet's Research Management Solution. For those users leveraging a custom score, this option will be the first choice and then users will be able to compare the custom score to other ESG providers.
Sustainability Linked Bonds added to GSS Company Security and Universal Screens
In addition to Green, Social and Sustainability Bonds, FactSet recently added sustainability linked bonds in Company Security and Universal Screening.
ESG Signals
Truvalue ESG Signals were recently added to Company Security ESG report, which provide notifications based on the following changes:
1. ESG Rank: A company had a change in rank relative to their peers
2. ESG Top Category: Changes based on a company’s Dynamic Materiality
Truvalue Historical Rank Chart
This chart shows the history of ESG Rank changes for a company, and clicking on a time period in the chart reveals underlying Spotlight Event data, Street Account updates, and other updates that affect the company’s ranking.
The chart, available to Truvalue subscribers, is linked to within the Truvalue section of the ESG Overview.
Coming in August:
Discover the latest market-relevant ESG news by using the ESG Sector filter in Today's Top News. Read ESG-specific market synopsis, top stories, most read pieces, and portfolio specific news or view upcoming ESG Events all in one screen.
Reach out to your FactSet Customer Success or Sales representative with any questions.
This September, FactSet will be releasing Revere ESG Thematic datasets, which enables easy analysis of corporate exposure to ESG themes based on revenue and product involvement. Quickly spot and screen for ESG exposure to themes such as alternative energy and tobacco all mapped back to as-reported business segments or product Tradenames. This data will be available via FactSet and data feeds.
Learn more about the data on the Open:FactSet Marketplace.
FactSet’s ESG and regulatory experts recently released customizable SFDR Annex templates to support compliant Annex I-V reporting and European ESG Template (EET) creation. FactSet's SFDR solution allows you to:
Learn more here.
This month, Truvalue added 1,306 local news sources. These sources cover countries including Germany, Switzerland, Austria, Sweden, Norway, Finland and others.
Reach out to your FactSet Customer Success or Sales representative for more information.
ESG Investment Insights from Unstructured Data
This white paper by Wolfe Research introduces FactSet's Truvalue ESG Data. Check it out to learn how Truvalue scores generate strong performance in most regions and industries and how incorporating Truvalue ESG metrics into a risk model framework improves the accuracy of risk predictions.
Read the full article here.
What Are Scope 4 Carbon Emissions?
Required reporting standards for carbon emissions have focused on different types or scopes of impact. Though Scope 1 and 2 emission disclosures are most common to date, more organizations are starting to report on Scope 3 as well. And a newer concept, Scope 4, should be entering the conversation more heavily in months to come. In this Insight article, FactSet's Tom Abrams, CFA (Associate Director, Deep Sector Content) discusses the origins and intent of the environmental reporting scopes, the challenges of Scopes 3 and 4, Scope 4 scenarios, and the difficulties of estimating Scope 4 emissions. Learn from high-level examples in this article.
Read the full article here.
In the Spotlight: Norfolk Southern Corporation (NSC) and the Cost of Derailment
On average, there were about 1,400 derailments per year over the past decade. A closer look at FactSet Truvalue Spotlights over that time reveals Norfolk Southern Corporation has a unique “derailment footprint.”
Learn more in our analysis here.
Demo: Entelligent T-Risk on FactSet
In this clip from an Entelligent and FactSet webcast, FactSet's James Cardamone (Vice President, ESG Product & Strategy) demonstrates Entelligent’s T-Risk scores and shows how they can be used to gauge and report climate transition risk.
Watch the demo here.
Interview with Dinah Koehler: Developing Policies and Frameworks to Mitigate Greenwashing Risks
In this interview with CeFPro, FactSet's Dinah Koehler (Director of ESG Research) discusses the meaning of greenwashing and what it means for financial institutions.
Read the interview here.
Leading Hedge Fund Leverages FactSet Truvalue ESG Data and Data Management Solutions for Unique Credit Trading Bond Selection Strategy
This hedge fund planned to develop and launch a new strategy focused on sustainability in the credit markets, but they faced several challenges such as that most ESG providers score the company as a whole and do not provide any specific indications at the security level. After implementing FactSet's Data Management Solutions with Truvalue ESG data, the ability to link from corporate-level ESG scores down to credit issuances saved the firm valuable time and resources.
Read the case study to learn more here.
PRI In Person
October 3-5, 2023
Tokyo
Join FactSet and other responsible investment stakeholders to learn, network and collaborate in Tokyo at PRI in Person 2023. Be sure to stop by FactSet's Charging Station to meet our team and charge your devices!
Responsible Investor Asia
October 24-25, 2023
Singapore
Visit our booth at RI Asia in Singapore this October to meet our team and learn about FactSet's ESG strategy.