Moody’s Launches SDG Alignment Screening Tool for Investors
Moody’s ESG Solutions announced today the launch SDG Alignment Screening, a new data solution aimed at enabling investors to integrate the UN Sustainable Development Goals (SDGs) into investment strategies, funds, indices, and reporting.
The UN SDGs refer to the 17 categories of goals adopted as part of the 2030 Agenda for Sustainable Development, adopted by world leaders at the United Nations Sustainable Development Summit in September 2015, with the aim to protect the planet and improve quality of life globally. The UN SDGs set targets to achieve a broad range of aspirational goals, including ending poverty and hunger, improving education, and protecting the environment.
The new data solution by Moody’s provides data for approximately 5,000 listed companies covering over 300 data points, employing a screening methodology that adopts a dual materiality approach, meaning that it captures both the contributions that a company makes to the SDGs through its products and services, as well as a company’s impact on the SDGs through its management systems and stakeholder relations.
The launch follows the introduction earlier this month by Moody’s ESG of a Global Compact Screening tool, aimed at enabling investors and market participants to evaluate the alignment of companies with the sustainability-focused principles of the United Nations Global Compact (UNGC).
Sabine Lochmann, Global Head of Moody’s ESG Measures, said:
“With less than a decade left to achieve the 2030 Agenda for Sustainable Development, investors have a key role to play in providing the necessary finance to help meet the SDGs, which requires them to be presented as simple metrics. Our SDG Alignment Screening provides high-quality data, helping investors leverage the SDGs both as part of risk management and reporting frameworks, and as a capital allocation guide.”