Fitch Ratings - ESG Relevance Scores
ESG Relevance Scores
What data do you provide?
Fitch Ratings assign and maintain credit-relevant ESG Relevance Scores across all asset classes -Corporates, Financial Institutions, Sovereigns, Public Finance, Infrastructure and Structured Finance. Fitch Ratings is maintaining over 142,000 individual Environmental, Social or Governance scores for over 10,500 entities worldwide, spanning Emerging and Developed Markets and across both High Yield and Investment Grade. Almost all credit ratings are accompanied by ESG Relevance Scores.
ESG Relevance Scores describe how ESG risks impact Fitch’s credit rating decisions. These scores are displayed in 97 standardized, industry-specific templates, enabling cross-comparison of entities both within and between sectors and asset classes. Investors use ESG Relevance Scores to understand the level of ESG risk that is being captured in the credit ratings of entities or transactions.
Where and how do you source your data?
Fitch’s ESG Relevance scores are an integral part of our ratings analysis. After assigning a credit rating, Fitch’s analysts will allocate ESG Relevance Scores for fourteen ESG General Issue categories. Templates by sector indicate which ESG factors are sector relevant, and the entity specific scores produced for each factor indicate materiality to that credit rating decision.
As ESG Relevance scores are observations on how ESG factors impacted credit ratings, analysts use the same public and private information to inform both the credit ratings and corresponding ESG Relevance Scores. Where there is limited or no dataset on an ESG issue(s) considered material to the credit, Fitch analysts have the opportunity to source ESG data directly via management interactions.
Who are the data users?
Investors, issuers, intermediaries, others.
What is the cost for your data offering?
Fitch Ratings’ ESG Relevance Scores are offered as part of a regular Fitch subscription, and are an integral part of credit ratings research. They are published as a fundamental part of the entity or transaction credit-specific ratings research and the information is included in rating reports. Summary information on ESG relevance and materiality is included on free to access issuer rating pages via Fitch’s website.