A novel ESG Framework Management System that allows for flexibility as frameworks evolve or change.
Framework Agnostic Approach
There is no one ESG framework that solves every investor’s needs. Hence, ESG scores that serve only one framework are, by their very construction, limited in scope and applicability. EMAlpha’s scores are framework agnostic. Scores are created at a firm level and can be quickly assigned to any desired framework by our AI algorithms.
Regulatory requirements can change over time. Investors need to be flexible around ESG criteria for portfolio construction as they navigate changing requirements. EMAlpha’s framework agnostic method allows for a nimble approach where portfolio construction criteria can be changed without reconstructing security level scores and having to start all over again.
Multiple Frameworks Capability
An investor does not need to be committed to one framework over the entire lifetime of the product. As external factors change, the framework relevant to a portfolio can also change. EMAlpha’s flex-framework approach allows investors to see the relevance of different frameworks and measure their materiality. This quick comparison of frameworks gives investors the choice to select what works best for them.
ESGAlpha’s cloud based framework manager allows investors to select and experiment with different frameworks. A set of securities can have quite different scores under different frameworks and a comparison can help investors make decisions that serve their clients the best. ESGAlpha also provides customized support that goes deeper into questions regarding framework selection.