Incorporating ESG factors into portfolio construction is becoming more important than ever. End customers expect that institutional investors are screening stocks based on ESG performance. One of the challenges is that ESG reporting available from corporate sustainability reports can have embedded time lags which makes ESG screening challenging.
In this webinar, we covered how we can address this challenge with both fundamental and alternative data sets. For that, we invited industry experts Nathalie Wallace who leads the Global ESG Investment Strategy team at State Street Global Advisors and Melissa Spinoso who is a Sustainable Investing Strategist in the Chief Investment Office as part of UBS Wealth Management. They discussed how State Street Global Advisors and UBS leverage current datasets for ESG screening purposes. In addition to this, Sentifi’s CEO Marina Goche addressed how Sentifi’s ESG analytics can be utilized for ESG screening.
Here are some of the quotes from the webinar that caught our attention:
“UBS called for the simplification, standardisation and mainstreaming of corporate sustainability data. We are convinced that this data is useful, but we are also very conscious of the challenges simple data faces.” – Melissa
“There is a need to develop a new generation of data to be able to build a stronger ESG signal for portfolio managers. That’s why we are constantly looking to do due diligence on many data sources to really improve the quality of the information we get into our data platform for portfolio managers so they can do a proper job in their security selection process.” – Nathalie
“We believe that alternative data can help provide the 360-degree view on ESG performance and move away from traditional data sets from a risk assessment context.” – Marina
To access the full recording please click on the following link: