IHS Markit Launches Sovereign ESG Dataset For Country Level Risk and Opportunity Assessment
Information and analytics provider IHS Markit announced today the launch of its Sovereign ESG Dataset, including 41 discrete indicators across 211 countries and territories.
According to IHS Markit, the new sovereign metrics are designed to enable investors to identify emerging risks and opportunities across multiple geographies and sectors by offering a strategic view of current and future exposure to ESG related policies, and providing the opportunity to engage pro-actively and mitigate risk effectively. The company stated that the dataset outputs are numerical for efficient portfolio integration and include forward guidance on a one-year horizon for key Sovereign ESG indicators.
Kevin Bourne, co-Head, Sustainable Finance, IHS Markit, said:
“Country level ESG indicators are increasingly important for investors as they look to build a holistic picture of ESG risk across all issuers both Sovereign and Corporate. More and more financial institutions are looking to build their own bespoke ESG values across a wider range of detailed country level metrics. Our data sets deliver a detailed ten-year time series combined with a one year forecast across a large number of these, enabling new perspectives being applied to ESG modelling.”
Alexia Ash, Associate Director, Country Risk Consulting, IHS Markit, added:
“Evaluating the impact of environmental regulation and corporate tax policies of a host country on a specific investment requires a deep understanding of existing and evolving dynamics. ESG risks are no longer just the purview of global equities – these disclosures are becoming directly relevant to sovereign-level investing.”