ESG Risk Rating License
ESG Risk Rating License
What is an ESG Risk Rating License
An ESG Risk Ratings License from Sustainalytics, allows your company to use Sustainalytics’ ESG Risk Rating for various internal and external corporate purposes. As awareness of the materiality of environmental, social and governance (ESG) factors has grown, so too has the demand for new uses of ESG data and information to be disclosed beyond just the investor community.
With a Sustainalytics ESG Risk Rating License, you will receive an Annual Score Change Report that highlights and identifies the movement in your score and shows you the indicators driving the change.
With our ESG Event Alert Report, you will receive updates that highlight any changes occurring to your ESG score as a result of controversies that may occur.
Leverage your ESG score and communicate your sustainability efforts to investors and stakeholders by having your report updated annually to coincide with your Sustainability or annual report release.
Use Cases for an ESG Risk Rating License
In recent years, companies have leveraged their ESG performance data as part of their capital raising activities, marketing efforts, investor relations and communications initiatives. Through our license service, Sustainalytics provide credible third-party ESG ratings and annual assessment updates for publicly traded and private companies based on our ESG Risk Rating.
How can I use the ESG Ratings License?
1. Competitive Intelligence
Leverage your company’s ESG Risk Rating for discounts in capital raising activities, such as accessing favourable rates for sustainability linked loans or supplement sorting of the issuance of a green or social bond.
2. Performance Analytics
Benchmark your sustainability performance year-over-year and compare your performance to up to five industry peers. Providing greater detail than the Competitive Intelligence, you can perform a more in-depth analysis of your company’s ESG strengths and weaknesses relative to your peers.
3. ESG Internal Performance
Analyse your company’s ESG management performance to determine areas of improvement such as missing policies or greater transparency in company disclosures. Apply your findings to support internal management programs to improve your ESG performance.
4. Buyer Supply Chain Data
Differentiate yourself from competitors by sharing your ESG Risk Rating with sustainability-focused buyers looking to meet their own supply chain sustainability targets.
5. Debt and Equity Roadshows
Publish your ESG Risk Rating in (green) bond roadshows to give investors confidence that your company is managing sustainability-related risks and provide them with a transparent signal of your commitment of sustainability.
6. Investor Relations
Communicate your performance on the ESG issues most important to your investors by sharing information from your ESG Risk Rating report.
7. Management and Board Remuneration
Identify areas of improvement in the company’s ESG performance and tie these longer-term enhancements to the board or senior executive’s reward packages.
8. Marketing and Promotion
Raise awareness about your company’s ESG performance among internal and external stakeholders to help support your sustainability marketing and public statements.
9. Capital Raising
Leverage your company’s ESG Risk Rating for discounts in capital raising activities, such as accessing favourable rates for sustainability linked loans or supporting the issuance of a green or social bond.
25 years of developing
Offices around the globe, providing local market knowledge
Best ESG Research award from Environmental Finance
700 of the world’s leading asset
managers and pension funds
Sustainalytics is a leading global provider of environmental, social, governance (ESG) research, ratings and analytics. For over 25 years, Sustainalytics has been at the forefront of developing innovative solutions to meet the evolving needs of investors, financial institutions and corporates. Today, Sustainalytics works with hundreds of the world’s leading asset managers and pension funds who incorporate ESG and corporate governance information and assessments into their investment processes.
Sustainalytics’ Sustainable Finance Solutions support the growing demand for green and sustainability themed finance instruments in debt capital markets. The firm’s Sustainable Finance team work with issuers and underwriters to provide second-party opinions on bond frameworks aligned with leading global Principles and Guidelines. Sustainalytics also offers corporations the option to license its ESG Risk Ratings, which can be used for sustainability-linked loans and for other capital raising activities.