A New Analytics Tool For ESG Investing
State Street Global Exchange, the data and analytics arm of State Street Corp., debuted a systematic tool that assesses environmental, social and governance products. The new analytics tool, called ESGX, allows clients to invest more responsibly.
State Street said that global ESG assets rose close to $23 trillion in 2016, yet transparent, standardized and quality data remain an obstacle for investors. The ESG tool will give investors daily updates, multi-asset class coverage and the option to choose data that suits investor needs.
The ESGX platform was designed to offer clients transparency and standardization with data from providers such as Arabesque and TruValue Labs.
“Having a view into a company’s non-financial profile is increasingly important to the growing number of investors and regulators who understand the impact of ESG factors on risk and returns,” said John Plansky, global head of State Street Global Exchange.
ESGX will feature Arabesque S-Ray, a tool that uses quantitative models to evaluate the sustainability of the world’s largest corporations.
Some of the ESGX tool’s key features include its ability to compare ESG risks across portfolios; tools to assess the affects of negative and positive screens and ESG tilts on portfolio returns. The platform will also benchmark portfolios against marketplace ESG indices and focus on the trends and evolution of portfolio-level risk and performance.
The MainStay Candriam Emerging Markets Equity Fund