SUSTAINABILITY RISK. EXPLAINED.
We look forward and we explain the sustainability risks to the smallest research point, so that you can focus on integrating them in your investment and credit decisions.
DECISION. READY.
Our ESG risk research and ESG risk assessment data are decision ready for use in your integration of ESG risk in your investment decisions or credit decisions.
100% coverage
An important part of our coverage is private credit issuers
Our unique coverage
We focus on the segments where no other provider operates.
Non-stock exchange listed issuers
(High Yield and Investment Grade)
Private Equity
Micro Cap Equity
Bank Loans
Credit and Investment Portfolio Gaps
Our Core Knowledge #1
Fundamental ESG* risk research by Certified ESG* research analysts
Our approach to ESG research is fundamental, that means that we study all relevant publications by a company and combines this with fundamental understanding of ESG challenges of different activities and sectors. This makes us well placed to estimate the ESG risks of a company. We publish a 33 pages ESG research report per company with a conclusion highlighting the most important residual risks, a section suggesting how it should be integrated in investment decisions and a list of all the questions we think should be asked to the company in question.
Based on our fundamental ESG research process, we rate up to over 130 separate indicators on the ESG risk mitigating impact, or seen from the other side, what level of ESG risk that remains on that specific point of interest. Based on our understanding of ESG materiality, we make a weighted total ESG risk rating for the company we have researched.
Based on our fundamental ESG research process, we rate up to over 130 separate indicators on the ESG risk mitigating impact, or seen from the other side, what level of ESG risk that remains on that specific point of interest. This data is available as an option for clients with own ESG rating methodology.
In addition to ESG research, we gather PAI data for the companies we research. This includes all the mandatory and the full E and S voluntary lists. This data is available as an option for clients.
In addition to the ESG research, we screen companies for activities, practices and products that investors at times exclude from their investible universe. All the activities in the EU EET file are included, plus a more detailed set of screening criteria in the fossil fuel value chain, for example oil sand, fracking, upstream and down stream activities. This data is available as an option for clients.
Our Core Knowledge #2
AI driven automation of ESG research
Do you make your own ESG research? As we are ESG research experts, we can help you setting up your own ESG research methodology and materiality matrix. Do you already have a methodology, but wish to upgrade it? We can help you!
Our Core Knowledge #3
EU sustainable regulation implementation advisory and training
In-between the lawyers’ interpretation of EU regulatory texts and the asset managers, we offer practical implementation. Often the input from the lawyers is very theoretical and not very practically oriented. We also bring in the consensus views from Europe on how EU sustainable regulation is implemented in the areas of uncertainty or unclear definitions or requirements from the regulation.
While many still think that EU Sustainable Finance regulation is only about information and reporting, there are some processes that need to be in place to ensure that asset managers actually are delivering on the promises given on websites and in pre-contractual documents. One of these is the ESG risk integration in “investment processes” that practically means in “investment decisions”.
We have realised as specialist on ESG risk identification and assessment that many portfolio managers and analyst are struggling to practically integrate these risks in their investment decisions. We therefore have developed a training to help them. It is a 4 session program with both theoretical and practical case work.
What is NEW at sustainAX?
Now you can search on the companies we have ESG risk researched
Statement of Application
Selected ESG* Insights
ESG risk mitigation strategies through engagement, not impact investing, is the quickest way to positive environmental and social impact. Why?
1) Impact assets are still small in a global context, and how large can it grow really?
2) “Profitable” ESG risk mitigation strategies are relevant for most actively managed assets, massive in a global context
If the target is to have powerful and quick positive contribution to environmental and social goals, ESG risk mitigation strategies like engagement is the way to go.
It implies that exclusions is not always the right strategy!
