We are seeing a growing demand for more reliable ESG disclosure from both governments and investors. Governments around the world are signalling a clear intention to better understand the impacts of business and on business of ESG factors (we are covering examples from the UK, New Zealand and the EU Commission in our selected stories). Investors are also demanding a more transparent ESG picture of companies than ever before, and are increasingly informed not just by company disclosures, but by “alternative” data from non-company sources, from media sentiment tracking using sophisticated algorithms to anonymous employee reviews, and even satellite imagery. Our lead article explores the transformation of the ESG ratings landscape, from a set of black boxes to more transparent granular data, and what this means for companies. It covers why businesses need to improve data disclosure and align with ESG ratings methodologies, but also to ensure that they have a compelling story to tell about how ESG considerations are embedded in strategy, and equip their investor relations team to tell it. Our selected stories focus on ESG data transparency: evian’s dashboard enabling consumers to track progress on plastics; New Zealand’s new law requiring climate reporting; and new initiatives to make on-time ESG granular data available to investors. Transparency is the word. |