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Corporate Social Responsibility
News
5.23.2007 - 12:48pm ET
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Institutional Shareholder Services Introduces Sustainability Risk Reports
Industry's Most Comprehensive Database Draws on Over 400 Environmental, Social and Governance Indicators to Help Investors Manage Compliance and Portfolio Risk
(CSRwire) ROCKVILLE, MD- May 23, 2007- Institutional Shareholder Services (ISS), the
world’s leading provider of corporate governance and proxy voting
services, today announced the availability of its global Sustainability
Risk Reports database. Drawing on an extensive set of over 400
environmental, social and governance (ESG) factors, ISS' in-depth company
profiles offer rich qualitative analysis combined with a relative scoring
system to help investors assess companies’ ESG performance and compare
against industry peers.
Environmental and social issues such as climate change, energy use, labor
and human rights are rapidly translating into mainstream investment
issues. Their increasing importance is driving institutional investors to
incorporate more extensive sustainability considerations into the
investment process. Leveraging the analysis and scoring embedded in ISS’
Sustainability Risk Reports enables investors to analyze the potential
sustainability-related risks and opportunities of portfolio companies.
"Shareholders not only expect their asset managers to know whether
companies are acting as good corporate citizens, but also to consider ESG
performance when managing their portfolios," said John Deosaran, ISS’
Vice President of ESG Analytics. "With ISS’ Sustainability Risk Reports
database, investment managers can identify those ESG factors that best
align with their client-driven mandates, and determine appropriate
investment weightings, turning compliance priorities into a competitive
edge."
Building upon its proven corporate governance model ("CGQ") introduced in
2002, ISS is the first to deliver a reliable, objective and transparent
scoring system for environmental and social performance. The breadth of
ISS' sustainability scoring factors encompasses key areas such as carbon
emissions, energy use, labor standards and ethics. ISS also analyzes each
company’s disclosure practices, adherence to ESG policies and its
Board’s oversight of ESG issues. Investment managers can leverage ISS’
reports and scoring model to identify sustainability-related risk in
portfolio companies and to manage client-driven mandates related to
environmental, social and governance screening.
"Investors are asking increasing numbers of companies to provide more
information around their ESG efforts, yet disclosure practices vary
widely," added Deosaran. "To obtain a comprehensive picture, investors
need a consistent framework to evaluate ESG practices. ISS’
Sustainability Risk Reports database offers a uniform methodology to
benchmark companies’ sustainability actions so investors can make more
informed investment choices."
ISS' global coverage universe for its Sustainability Risk Reports database
includes the S&P 500, TSX 300 and European MSCI EAFE companies. The
Sustainability Risk Reports are available via the Governance Analytics
platform, the industry’s leading online platform for proxy voting and
corporate governance. To learn more about ISS’ ESG services, please
visit: http://www.issproxy.com/esg/index.html.
About Institutional Shareholder Services
ISS, the world’s leading provider of corporate governance and proxy
voting solutions, is a subsidiary of RiskMetrics Group. Founded in 1985,
ISS provides proxy research, voting services and corporate governance
advisory services to financial institutions and corporations worldwide.
Together, ISS and RiskMetrics Group help investors manage across multiple
classes of interrelated risk. ISS is headquartered in Rockville, Maryland
with offices in Washington, DC, Amsterdam, Brussels, Chicago, London,
Manila, Melbourne, New York, Paris, Tokyo and Toronto. For more
information on ISS, visit www.issproxy.com.
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