ISS STOXX - Modern Slavery Scorecard
Data category
- Social data
- Modern Slavery Scorecard
The data offers solutions for:
- Investment decisions and portfolio insight
- Norms-based screening
- Reporting: Other Regulations
- Social impact analysis and insight
Who are the data users?
- Corporates
- Financial institutions
- Government
- Investors
- Trustees
- Institutional investors; Asset managers; Asset owners; Fund managers; Banks; Government institutions; Universities and research firms
Brief description of the data offering
ISS ESG’s Modern Slavery Scorecard, introduced in June 2022, enables clients to identify, evaluate and act on modern slavery-related risks and their impact on investments. Clients can use the data to measure their portfolio’s exposure to modern slavery risks and quickly identify an issuer’s disclosure, performance and links to controversies to support regulatory reporting requirements for modern slavery, which are passed or proposed in more than 10 jurisdictions globally.
The Scorecard contains three components:
Risk Assessment
- Forward-looking, holistic assessment of vulnerability to modern slavery, considering drivers of risk, including corruption, inequality, poverty, and government instability.
- Provides an issuer-specific location risk assessment, capturing operations in high-risk countries, and the extent to which an issuer in a given sector is exposed to modern slavery risks through its supply chain.
- Based on a comprehensive assessment of risk indicators, including exposure to regions with limited labour protections, sourcing of high-risk raw materials and links to goods reported to be produced with forced labour.
Performance and Disclosure
- Provides an assessment of an issuer’s preparedness to identify and mitigate risks.
- Covers operational and supply chain indicators, including policies and procedures on fair business practices, monitoring and non-compliance of suppliers, training, living wages, working hours and respect for union rights.
Controversies
- Identifies alleged or verified failures to respect relevant established norms, including forced labour, the worst forms of child labour and human trafficking.
- Looks at broader labour rights controversies, including poor working conditions, union rights violations and failure to pay a living wage, as a stress test of an issuer’s policies and procedures, and an indicator of risk.
The Modern Slavery Scorecard leverages a number of proprietary ISS ESG solutions, including the ESG Corporate Rating and Norm-Based Research, along with data sourced from external sources such as the US Department of Labor and FactSet (location data).
Where and how do you source your data?
The Modern Slavery Scorecard leverages a number of ISS ESG products, including the ESG Corporate Rating and Norm-Based Research. Additionally, the Modern Slavery Scorecard utilizes data from external sources such as the US Department of Labor, and FactSet (location data).
Data is collected based on the sources and methodology used by each ISS ESG solution. ISS ESG data is typically derived from company filings, as well as ongoing event-driven data updates as reflected in public disclosure, press releases and company web sites.
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.
What are the key attributes that differentiates the data you offer?
- Forward-looking, holistic assessment of vulnerability, performance, disclosure and controversies related to modern slavery.
- High quality data. ISS ESG’s comprehensive methodologies are supported by strict internal quality management systems and are based on recognized value systems that are continuously adapted to the latest developments and insights in the field of sustainability. Additionally, for many data sets, assessments are underpinned by feedback from the evaluated companies, which are given the opportunity to comment on the preliminary results and to provide additional information.
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ISS ESG’s Modern Slavery Scorecard enables clients to identify, evaluate and act on modern slavery-related risks and their impact on investments: https://www.issgovernance.com/esg/screening/modern-slavery-scorecard/
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