ISS ESG / RATINGS & RANKINGS
E&S DISCLOSURE QUALITYSCORE
Identify environmental and social risk within portfolio companies.
A data-driven scoring and screening solution designed to help measure and identify areas of environmental and social risk through company disclosure.
E&S Disclosure QualityScore seeks to measure and identify risk in environmental and social areas of concern through thorough analysis of company disclosures.
E&S Disclosure QualityScores can also indicate disclosure practices and save time in performing peer comparisons.
Environmental
- Management of Environmental Risks & Opportunities
- Carbon & Climate
- Natural Resources
- Waste & Toxicity
Social
- Human Rights
- Labor, Health & Safety
- Stakeholder & Society
- Product Safety, Quality & Brand
E&S Disclosure QualityScore profiles provide a summary of key disclosures, key disclosure omissions, an overview of disclosure and transparency risks and details the factors used in determining the company’s scores.
- Decile scores provide a snapshot view of risk.
- Red flags identify the companies or behaviors in need of further analysis, as well as highlight the areas raising the risk profile.
- Green stars indicate the areas of stronger disclosure practices.
- Supporting factor-level data and summary of key disclosure omissions provide critical insight.
- Overall environmental and social scores indicate a company’s risk relative to their peers in their
- Profile reports that highlight key facts to facilitate issuer engagement.
Distinct Methodology for Assessing Environmental and Social Risk
E&S Disclosure QualityScore methodology is based on guiding frameworks to support investor mandates to comply with emerging standards.
The methodology focuses on material aspects of disclosure practices, including global disclosure standards and frameworks such as:
Global Reporting Initiative (GRI)
Sustainability Accounting Standards Board (SASB)
Task Force on Climate-Related Financial Disclosures (TCFD)
European Sustainability Reporting Standards (ESRS)
- More than 340 factors across the environmental and social pillars are analyzed. The specific factors under analysis – around 240 – vary by industry group.
- A materiality focus ensures that companies are compared only to peers in their industry group.
- Where certain policies and disclosed factors are considered immaterial, their omission is highlighted.
- Issuers are invited to review and verify their data through routine data verification.
- An annual methodology review ensures that the methodology remains in step with evolving disclosure standards.