ratings and rankings and data analytics

Ratings and Rankings and Data Analytics, OH MY

Moderator: Stephen Donofrio, Teaching Fellow, Boston College Center for Corporate Citizenship

Eric Fernald, Executive Director, ESG Research, MSCI Inc.

Cynthia Figge, Cofounder and Chief Operating Officer, CSRHub

Susanne Katus, Vice President, Business Development, eRevalue

CONVERT

MAPREMOVE

BIAS

CSRHub Harmonizes Stakeholder Signals to Drive Improved CSR Performance 8 ESG

Analysts

440+Data

Sources

91M Data

points TransparentCSR SCORES &

RANKINGS

Corporate ManagersConsultants & AdvisorsAcademics, NGOs, Activists

© 2016 eRevalue Ltd.

eRevalue - from information overload to strategic insight

Qualitative Sources Comparable Data Innovative

Analysis Objective Insights

We help companies understand and anticipate the competitive, regulatory and reputational risks associated with EESG issues.

We provide a systematic process to identify which strategic issues matter most, backed-up my objective and near real-time data.

Our role

Current approaches to monitoring economic and ESG (EESG) issues are manual, costly and inconsistent. Technology can help.

MSCI ESG Research is the world’s largest provider of Environmental, Social and Governance (ESG) data and research1

We work with 47 of the top 50 global asset managers2 - over 900 clients in total including 125 asset ownersGlobal staff of over 250 dedicated full time to ESG business, including 150+ ESG analysts3

Over 40 years experience in ESG (IRRC, KLD, Innovest, GMI Ratings) 3

WHY DOES MSCI ESG RESEARCH EXIST?

4

• 1 By client coverage and staff based on public information produced by Sustainalytics, EIRIS, Trucost, as of February 2016 • 2 Based on P&I AUM data as of Dec 2014 and MSCI clients as of December 2015• 3 Source: MSCI ESG Research as of February 2016

ParisLondon

FrankfurtGeneva

Beijing

Hong Kong

Manila

SydneyCape Town

Mumbai

San FranciscoBoston

New YorkRockville

Monterrey

Toronto PortlandTokyo

BREADTH OF ESG OFFERING

5

ESG METRICS

SUSTAINABLE IMPACT METRICSESG RATINGS

BUSINESS INVOLVEMENT

SCREENING

NORMS & CONTROVERSIES

SCREENING

GOVERNANCE METRICS

ENVIRONMENTAL & SOCIAL METRICS

OUTPUTMSCI ESG RESEARCH

CARBON METRICS

IMPACT METRICS

CLEAN TECH METRICS

SOCIAL METRICS

ESG INTEGRATION SCREENING - VALUES ALIGNMENTIMPACT INVESTING

ACCOUNTING METRICS

Company, industry,

and thematic reports

Portfolio analytics

Data feeds

ESG RATINGS: Equity : 6,000 Issuers Fixed Income: 350,000 SecuritiesFunds and ETFs: 21,000

GLOBAL SANCTIONS

INVOLVEMENT SCREENS

CARBON SCREENING

CONTROVERSIES

GLOBAL NORMS

BUSINESS INVOLVEMENT: Equities: All publicly traded companies Fixed Income: Over 500,000 SecuritiesFunds and ETFs: 21,000

NORMS & CONTROVERSIES: Equities: ACWI IMI (8,500 Issuers) Fixed Income: Over 300,000 SecuritiesFunds and ETFs: 21,000

CLEAN TECH METRICS:Equity: MSCI ACWI IMIFunds and ETFs: 21,000

SOCIAL METRICS:Equity: MSCI ACWIFunds and ETFs: 21,000

MSCI ESG Research rates over 6,000 companies globally.For a complimentary copy of your company ESG Ratings report, please contact: [email protected]

Transparent CSR Metrics & Tools

Harmonized Scores & Rankings 15,571

Companies

Benchmark, Best Practice, Supply Chain,

CSR Strategy91 Million ESG Data

Elements from 442 Wall Street, Main Street, &

Crowd Sources

Corporate Managers, Professional Advisors,

Researchers

© 2016 eRevalue Ltd.

Insights into:

• 100+ “EESG” issues compiled by our industry and legal experts• 1,800+ existing and emerging regulatory initiatives identified by

legal team • 6,100+ companies and their corporate disclosures (CSR, financial,

SEC filings)• Social and Digital media sources

Datamaran™ - automating human expertise

8

ECONOMIC VALUE

HUMAN &SOCIAL VALUE

Sustainable Value

Creation

Company CSRHub eRevalue MSCIOffers

Metrics and tools to help improve CSR performance

Systematic process for monitoring current and emerging regulatory, competitive and reputational risks associated with 100+ economic and ESG issues in one view

Ratings, indexes, and data

Product type Harmonized ESG scores on perceived company performance, via Web, Excel-based, and API tools

SaaS; Products: Datamaran™ Standard and Datamaran™ Superior

5 basic categories: ratings, indexes, impact, business involvement, and controversies

Primary audience Corporate Managers, Professional Advisors, Researchers, Academics, NGOs, and Software Developers

Corporate Decision-Makers Global Asset Owners and Asset Managers

Primary uses Benchmarking, best practice, supply chain, CSR strategy, materiality assessment, and academic research

Materiality assessment (ongoing), benchmarking of peers/industry, supplier screening, regulatory issues monitoring, media monitoring, gap analysis, and stakeholder validation

Integration of ESG factors into investment process

Issue Areas 3,500 types of data covering ESG Economic, environmental, social, and governance

Environmental, social, and governance

Data points 91 million 100+ “EESG” issues compiled by our industry and legal experts, tied to 6,000+ related search terms

1000+

Companies covered 15,571 6100+ 6,000+

Data sources 442 including 8 premier ESG wall street analysts, main street, government, certification and crowd sources

1,900+ existing and emerging regulatory initiatives identified by legal team; 6,100+ companies and their corporate disclosures: CSR reports, financial reports and SEC filings (10-K & 20-F) published 2010 to present; 200+ social and digital media sources (global and local news)

100+ specialized datasets (government, NGO, and proprietary models); Company disclosure (10-K, sustainability report, proxy report); 5000+ media sources (global and local news sources, government, NGOs)

Bahar Gidwani

Unless this is a "stock" slide that everyone had to fill in, I don't like it. Much better to start with a big picture of who we are and where we are going. How about the third slide from our investor deck? The single most important item on this page is 15,571. That knocks the socks off both of the other companies. The other big piece is 94 million data points (should be 91) of focused, relevant data from experts in the field. The others may have millions of data points--but they are either diffuse and non-epert (eRevalue) or biased and driven only by company reports (MSCI).In this context, our seven years of experience are a plus. Same with the number of people who use us. Actually more people use us than MSCI. Objective is to position us as the serious, established company that really knows what it is doing. Instead of "reports" we should speak about "tools." Maybe make an image of our use cases? (Page of text is really boring.) Would be good to reassure MSCI guy right away that we are not investment oriented.

Bahar Gidwani

Asset4/Thomson, CDP, ET Global Index, IW Financial, MSCI, RepRisk, Trucost, Vigeo EIRIS. This is 8. If you want to count MSCI as four sources (Innovest, Impact Monitor, MSCI Carbon, and GovernanceMetrics) we have 11 sources.