Climate Action

ESG Index Construction - A Tool to Build Sustainable Capital Markets

Investors are increasingly interested in incorporating environmental, social and governance (ESG) considerations into their portfolios — including in policy benchmarks. Yet the ongoing lack of ESG market infrastructure means that not all ESG indices are created equally. In this paper, we examine the Bloomberg SASB ESG Index family as a case study of key considerations facing investors interested in ESG indices.

06 July 2020

What’s Next? Why ESG is More Relevant than Ever

The popularity of ESG investment strategies has only increased during the COVID-19 pandemic and we expect this trend to continue. In particular, we will see an increasing focus on climate and green bond investing as investors seek to mitigate climate risks and have a positive real-world impact.

29 June 2020

Targeted sustainability

More than ever, investors recognize the risks and opportunities associated with the low carbon transition and are incorporating a wider set of considerations, including carbon, green revenues and ESG assessments into their decision making.

24 June 2020

Data: Breaking Down ESG’s Final Barrier

When it comes to data about a company’s ESG practices there are significant barriers to quality. Currently, governments around the world don’t require firms to report on most ESG data. Companies are left to determine for themselves which ESG factors are material to their business performance and what information to disclose. To address these issues, State Street Global Advisors has built its own scoring system, R-Factor.

19 June 2020