There has been a tremendous growth in the demand for, and supply of, financial instruments with an ESG designation stemming from changing social values. A multitude of competing qualification frameworks exists, and customer confusion and concern have arisen regarding what constitutes an ESG investment. On the other side of the table, investment banks and other originators of investable assets struggle to find sufficient opportunities to meet demand.
Goals and Objectives
Generate customer loyalty and grow market share by developing or making available products and services that align with customers’ values. Identify and champion a robust framework for the measurement and communication of ESG outcomes for both the firm and the products and services it offers clients.
Data analytics, blockchain, advanced algorithms, and IoT
Use Case Summary
A growing interest in values-based investment has resulted in a proliferation of standards of measurement for progress toward ESG goals. Regulatory bodies have mandated the disclosure of ESG-related risks and promulgated supervisory procedures to increase transparency in select jurisdictions. Technology has played a central role in helping quantify, qualify, and report ESG risks and targeted outcomes.