External risk ratings are used as default and combined with our own views on companies based on in-depth assessment, engagement and proprietary research.
Our view can indicate likely improvements or deteriorations in sustainability status that are not (het) reflected in the default scores.
Given the importance of carbon emissions and corporate governance, the team uses a more extensive combination of external data for a refined custom scoring framework for these issues.
The framework reflects the targets the company has set, the way these are managed and how management is incentivised to reach them.
• Sustainability Risk Score can correct external ESG data
• Quick integration of the outcomes of engagement in the score
• This makes the score more forward looking
• Resulting scores are absolute and can be used as a comparison of risk between companies
• Score gives a consistent view of how exclusion and engagement thresholds are set.