Institutional Shareholder Services Inc. - ESG Portfolio Analysis

Data category

  • Environmental data
  • Social data
  • Governance data
  • Portfolio Analysis

What data do you provide?

Through its ESG Portfolio Analysis, ISS ESG enables investors to gain a comprehensive assessment of environmental, social and governance related performance of an investment portfolio. It comprises the following:

  • Definition of the concept of sustainability (including performance scores screening criteria)
  • Analysis and reporting
  • Leaders and laggards

Based on a detailed analysis report, ISS ESG can provide a client with guidance as to how they may improve the social and environmental quality of the portfolio and, where necessary, align it more closely with the organisation's goals. Providers of sustainable investment products, e.g. funds, can use the evaluation to have the quality of their product independently evaluated and verified.

The ESG Portfolio Analysis includes a comprehensive assessment of the following components:

  • Performance Score - Allows comparisons of companies across sectors. The score ranges from 0-100, with 50 being equal to the ISS ESG best in class threshold (“Prime”). The following assessments based on the score are included in the ESG Portfolio Analysis:
    • Portfolio performance in each of the following categories: environmental, social, and governance.
    • Percentage of shares or bonds with Prime Status
    • Top five performers and flop five performers
  • Exclusion Criteria - Companies engaged in the following controversial business practices are identified:
    • Human Rights controversy, severe or very severe
    • Labour Rights controversy, severe or very severe
    • Total fossil fuel related activities, ≥10%
    • Nuclear power: Producer ≥5%
    • Military: Producer/ Trader ≥5%
    • Controversial environmental practices, severe or very severe

Where and how do you source your data?

To build up a comprehensive picture of each company, ISS ESG analysts collect information relevant to the rating both from the companies being analysed and from independent experts. During the rating process, considerable importance is attached to the dialogue with the company under evaluation.

All the information received is cross-referenced with other sources (local authorities, local press etc.). In addition to the process of cross-checking and validating sources, ISS ESG uses independent experts on thematic issues (human rights, environment) or regional issues to assess the credibility of the information.

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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