Institutional Shareholder Services Inc. - Pooled Engagement

Data category

Social data

What data do you provide?

ISS ESG's Pooled Engagement is a dialogue and engagement service that is carried out with companies identified through Norm-Based Research as facing credible allegations or verified reports that they are failing to adhere to established norms and standards relating to environmental protection, human rights, labour standards and anti?corruption. Pooled Engagement provides an efficient way for investors across markets to exercise active ownership. 

ISS ESG's Pooled Engagement approach encourages companies to elaborate on efforts taken to design and implement better risk management systems at the operational level, to minimize the risk for re-occurrence of failures to respect international norms. Engagement set against clear and actionable engagement goals, based on expectations on the company's ability to address shortcomings in the context of its specific business sector and relevant industry standards, and measured against clear milestones.

ISS ESG initiates engagement with around 100 companies each year. At the outset of engagement, clear and actionable objectives, aligned with disclosure and performance expectations set out in recognized standards, are formulated by analysts with expertise in the relevant thematic field and familiar with the identified controversy. 

The combined effort of participants in Pooled Engagement allows them to wield more influence and encourage greater disclosure by companies than if an engagement were conducted alone. Clients around the world, representing more than 1.6 trillion in USD in total assets under management, participate in Pooled Engagement. Currently, a group of approximately 45 asset managers and asset owners from a variety of regions – from North America to Europe to Asia – subscribe to the Pooled Engagement service.

ISS ESG regularly reports about engagement activities and, more importantly, about progress towards set goals. In addition, information on the status and progress of engagements is made available on an ongoing basis through ISS ESG's new online Pooled Engagement tool.

Where and how do you source your data?

Companies considered for inclusion to the Pooled Engagement process are sourced based on factors surrounding ISS ESG’s Norm-Based Research. ISS ESG carries out extensive dialogue with companies and expert stakeholders – governmental or inter-governmental bodies, non-governmental organizations, academic organisations – to validate facts relevant to the incident or controversy and to the company’s response to it. Only companies that fail to respond to an incident in line with established norms and standards are subject to engagement.  

Who are the data users?

Data is used by a broad range of institutional investors, asset managers, asset owners, fund managers, banks, government institutions, universities and research firms.

What is the cost for your data offering?

Pricing is based on the method by which data is delivered. ISS ESG can provide data via its proprietary platform, DataDesk, or via data feed. Pricing for this solution is available upon request.

Contacts

marija.kramer@iss-esg.com

Corporate Statements

A custom-built approach to ESG

ISS ESG puts a premium on its clients’ ability to customise the ESG data and analytics they can access, its CEO Marija Kramer tells Environmental Finance.

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