Comprehensive or Core Framework?
Understand Where Your Company Fits
Two Frameworks, One ESG Risk Rating
Sustainalytics uses two research frameworks for the ESG Risk Ratings of companies within our coverage universe.
The Comprehensive Framework forms the methodological foundation of the ESG Risk Ratings. The Core Framework was created to extend the coverage universe of the ESG Risk Ratings. It is derived from the full ESG Risk Ratings model and uses a reduced set of management indicators and structure to approximate the Comprehensive Framework’s outcomes. In general, we use the Comprehensive framework when rating larger companies and the Core framework when rating smaller ones. For more details, check the ESG Risk Rating Methodology Document here.
Upcoming Enhancement to ESG Risk Ratings Framework
Beginning in July 2026, Morningstar Sustainalytics will transition all companies currently assessed under the Core framework to the Comprehensive framework. This transition is expected to be completed by Q1 2028 and will take place as part of each company’s scheduled annual ESG Risk Rating review. Below, we outline what this change means for covered corporate issuers and address key questions.
What Are the ESG Risk Ratings Frameworks, and Why Are They Being Aligned?
Morningstar Sustainalytics currently uses two frameworks to assess ESG risk exposure and management:
- Core Framework: Uses approximately 147 indicators to efficiently approximate ESG risk across a large universe of companies.
- Comprehensive Framework: Uses approximately 260 indicators, enabling a more granular and robust assessment of ESG risks and management.
To improve comparability, analytical depth, and data coverage, Sustainalytics is transitioning all companies covered by the core framework to the comprehensive framework. What is not changing is the robust methodology that underpins our Risk Ratings.
How Can I Tell If I’m Currently Covered by the Core Framework?
Corporate issuers can see their methodology framework applied to their organization in the latest ESG Risk Rating report.
What Will Change, and When?
- The rollout will begin in July 2026 and is expected to be completed by Q1 2028 (indicative timeline).
- Companies currently under the Core framework will transition during their annual review cycle—no action is required.
- After transition, all companies will be assessed using the Comprehensive framework only.
How Will I Know When My Company Has Transitioned?
Within the Issuer Gateway, the company framework status will be clearly indicating:
- Companies will continue to display their framework designation until transition.
- Once transitioned, this will be updated to reflect the Comprehensive framework assessment.
What Are the Benefits for Issuers?
This enhancement is designed to provide the following benefits without disrupting existing workflows:
- Comparability: One research framework applied consistently across all companies in your investment universe.
- Insights at company and MEI level: Subindustry and company-specific signals at company and MEI level
- More data: The transition unlocks over 35,000 additional ESG cluster scores, 100,000+ MEI scores, and 400,000+ data points.
- Stable Signals: As the comprehensive framework draws on a larger number of indicators, the Comprehensive framework leads to more stable rating outcomes.
What is the Expected Impact on Scores?
Based on simulations run:
- 77% of companies are expected to remain in the same ESG Risk category.
- The average score change is ~2.7 points, broadly in line with a typical annual update.
- Some subindustries—primarily within the extractives and materials industries—may experience higher variability due to deeper analysis and company‑level differentiation.
- Please note that these are simulated estimates; actual outcomes will reflect updated disclosures, more detailed exposure assessments and latest available data at the time of review.
Do I Need to Take Any Action?
No action is required.
However, issuers may benefit from:
- Monitoring their scores during their next annual update
- Reviewing disclosures to ensure ESG data is complete and up to date
Will This Affect My Corporate Solutions Services?
No. Your tools, services, and contractual arrangements remain unchanged.