Bloomberg is considering ways to expand its environmental, social, and governance (ESG) offerings. The document analyzes Bloomberg's competitive advantages and weaknesses in ESG, identifies opportunities in the growing sustainable investing market, and recommends that Bloomberg derive ESG data, develop industry-specific benchmarks, and promote new analytical tools to track ESG metrics. An implementation plan and financial projections estimate that these recommendations could generate over $100 million in profit for Bloomberg over five years while increasing its small market share in ESG offerings substantially.
Six growing trends in corporate sustainability 2013Jaime Sakakibara
Earlier this month Ernst & Young and GreenBiz Group released a new study, entitled ‘2013 Six Growing Trends in Corporate Sustainability.’ Based primarily on a survey of the GreenBiz Intelligence Panel of executives and thought leaders engaged in sustainability, this study reveals that “companies are increasingly connecting the dots between risk management and sustainability by making sustainability issues more prominent on corporate agendas.”
The Evolution of Aggregation and Reporting of ESG Data: Observations from a L...Sustainable Brands
Bloomberg is a rather unique player in the sustainability space – it is an aggregator and provider of ESG data, a media outlet following and analyzing key developments in the space, and a company with sustainability-minded leadership that just issued an impact report following both GRI and SASB reporting standards, all in one. In this presentation, Bloomberg LP’s Global Head of Sustainable Business & Finance Curtis Ravenel will share his latest observations on overall progress in aggregating and reporting ESG performance data.
When we conducted our inaugural environmental, social and governance (ESG) survey of private equity (PE) professionals last year, it was startling to see that nearly half (49%) of our general partner (GP) respondents did not have an ESG program at their firm and had no plans to create one, despite heightened concern from limited partners (LPs) on ESG issues. What a difference a year makes—not to mention the fact that we had a higher proportion of European respondents this year, who are much more progressive when it comes to ESG issues. In our second edition of the ESG survey, a majority of GP respondents (60%) now work at a firm with an established ESG program and another 26% either have an ESG program in development or plan to create one in the near future. However, there are still some PE firms that see little value in ESG programs. As one GP respondent put it: “we think [ESG] is the most asinine initiative ever to come out in the business world.”
While some PE firms eschew ESG issues and think that strong fund performance is enough to attract LP commitments, the LPs themselves are telling a different story. Eighty-four percent of LP respondents say that ESG issues are at least somewhat important when deciding whether or not to commit to a PE fund, with 18% claiming they are essential. Furthermore, 24% said they would they would commit to a fund with slightly lower historical performance if the firm had a strong ESG program. Remember, many of the largest contributors to PE funds are public pension plans, endowments, foundations and sovereign wealth funds—institutions which not only are interested in returns but also have an image to maintain. “GPs have to be more aware of investors’ desire for knowledge of their investments beyond just the financial return,” commented one LP respondent, while adding that the responsibility ultimately falls on the investors: “GPs will only change if the LPs push them to.”
One of the big takeaways from this year’s survey is that more PE firms are taking the necessary steps to make ESG a fundamental part of their investment approach. For example, 28% of GP respondents indicated that their firm produces a corporate social responsibility (CSR) report, up from 18% in 2012. And while finding effective metrics to monitor ESG performance continues to be the largest hurdle for ESG efforts, PE firms continue to find new ways to measure their ESG initiatives and have increasingly utilized forums, case studies and industry events and guidelines to fill the knowledge gap.
We hope that this survey serves as a lens into the current state of ESG issues in the PE industry and provides a starting point for developing a set of best practices that can be adopted by firms of all sizes. If you are interested in participating in future editions of the survey, or have any comments or suggestions for how we can improve this report, please contact us at research@pitchbook.com.
The Rise, Impact, and Challenges of ESG Factor Based Investing.JacobReynolds24
Covers a wide range of topic regarding ESG integration and ESG factor-based investing.
With many pension funds starting to follow the UN’s PRIs, and the signatories representing $70 trillion. ESG factor-based investing cannot be ignored, regardless of the participant's principles. The divestitures we are seeing by major players such as GPIF, Norwegian Oil Fund, CalSTRS as well as many smaller endowment funds.
Has this led to an increase in PE activity in the affected sectors, the driver is that the –what can be seen as forced- selling leading to said companies trading at a discount in public markets. Which leads to the question: through ESG conscious funds investing inline with their principles, do they end up bounding their returns (in the case of tobacco divestment) and arguably making the companies who are deemed poor on the E and S vector less transparent and accountable.
If your company is public, Bloomberg monitors its environmental, social, and governance (ESG) performance – even if your company does not issue a sustainability report. Working with published data and news items, Bloomberg researchers crunch thousands of companies’ ESG disclosure performance into one number: a disclosure score.
To find out your company’s disclosure score, contact Sun:
https://www.linkedin.com/in/mcelderry
This originally appeared at http://framework-llc.com/bloomberg-esg-disclosure-scores-behind-the-terminal/
One of my earlier ESG presentations to an Investor Relations Officers' ( #IRO ) association called the National Investor Relations Institute ( #NIRI ). This was in 2009 while I was running my own consultancy #WallacePartners and representing clients like #Trucost
Six growing trends in corporate sustainability 2013Jaime Sakakibara
Earlier this month Ernst & Young and GreenBiz Group released a new study, entitled ‘2013 Six Growing Trends in Corporate Sustainability.’ Based primarily on a survey of the GreenBiz Intelligence Panel of executives and thought leaders engaged in sustainability, this study reveals that “companies are increasingly connecting the dots between risk management and sustainability by making sustainability issues more prominent on corporate agendas.”
The Evolution of Aggregation and Reporting of ESG Data: Observations from a L...Sustainable Brands
Bloomberg is a rather unique player in the sustainability space – it is an aggregator and provider of ESG data, a media outlet following and analyzing key developments in the space, and a company with sustainability-minded leadership that just issued an impact report following both GRI and SASB reporting standards, all in one. In this presentation, Bloomberg LP’s Global Head of Sustainable Business & Finance Curtis Ravenel will share his latest observations on overall progress in aggregating and reporting ESG performance data.
When we conducted our inaugural environmental, social and governance (ESG) survey of private equity (PE) professionals last year, it was startling to see that nearly half (49%) of our general partner (GP) respondents did not have an ESG program at their firm and had no plans to create one, despite heightened concern from limited partners (LPs) on ESG issues. What a difference a year makes—not to mention the fact that we had a higher proportion of European respondents this year, who are much more progressive when it comes to ESG issues. In our second edition of the ESG survey, a majority of GP respondents (60%) now work at a firm with an established ESG program and another 26% either have an ESG program in development or plan to create one in the near future. However, there are still some PE firms that see little value in ESG programs. As one GP respondent put it: “we think [ESG] is the most asinine initiative ever to come out in the business world.”
While some PE firms eschew ESG issues and think that strong fund performance is enough to attract LP commitments, the LPs themselves are telling a different story. Eighty-four percent of LP respondents say that ESG issues are at least somewhat important when deciding whether or not to commit to a PE fund, with 18% claiming they are essential. Furthermore, 24% said they would they would commit to a fund with slightly lower historical performance if the firm had a strong ESG program. Remember, many of the largest contributors to PE funds are public pension plans, endowments, foundations and sovereign wealth funds—institutions which not only are interested in returns but also have an image to maintain. “GPs have to be more aware of investors’ desire for knowledge of their investments beyond just the financial return,” commented one LP respondent, while adding that the responsibility ultimately falls on the investors: “GPs will only change if the LPs push them to.”
One of the big takeaways from this year’s survey is that more PE firms are taking the necessary steps to make ESG a fundamental part of their investment approach. For example, 28% of GP respondents indicated that their firm produces a corporate social responsibility (CSR) report, up from 18% in 2012. And while finding effective metrics to monitor ESG performance continues to be the largest hurdle for ESG efforts, PE firms continue to find new ways to measure their ESG initiatives and have increasingly utilized forums, case studies and industry events and guidelines to fill the knowledge gap.
We hope that this survey serves as a lens into the current state of ESG issues in the PE industry and provides a starting point for developing a set of best practices that can be adopted by firms of all sizes. If you are interested in participating in future editions of the survey, or have any comments or suggestions for how we can improve this report, please contact us at research@pitchbook.com.
The Rise, Impact, and Challenges of ESG Factor Based Investing.JacobReynolds24
Covers a wide range of topic regarding ESG integration and ESG factor-based investing.
With many pension funds starting to follow the UN’s PRIs, and the signatories representing $70 trillion. ESG factor-based investing cannot be ignored, regardless of the participant's principles. The divestitures we are seeing by major players such as GPIF, Norwegian Oil Fund, CalSTRS as well as many smaller endowment funds.
Has this led to an increase in PE activity in the affected sectors, the driver is that the –what can be seen as forced- selling leading to said companies trading at a discount in public markets. Which leads to the question: through ESG conscious funds investing inline with their principles, do they end up bounding their returns (in the case of tobacco divestment) and arguably making the companies who are deemed poor on the E and S vector less transparent and accountable.
If your company is public, Bloomberg monitors its environmental, social, and governance (ESG) performance – even if your company does not issue a sustainability report. Working with published data and news items, Bloomberg researchers crunch thousands of companies’ ESG disclosure performance into one number: a disclosure score.
To find out your company’s disclosure score, contact Sun:
https://www.linkedin.com/in/mcelderry
This originally appeared at http://framework-llc.com/bloomberg-esg-disclosure-scores-behind-the-terminal/
One of my earlier ESG presentations to an Investor Relations Officers' ( #IRO ) association called the National Investor Relations Institute ( #NIRI ). This was in 2009 while I was running my own consultancy #WallacePartners and representing clients like #Trucost
ESG research and corporate sustainability assessment proof the correlation between sustainable management integration and superior financial performance
ESG Is No Longer Optional. What Every Private Equity Manager Should KnowNavatar
Recording: https://www.youtube.com/watch?v=K5NBmZs84gY&feature=youtu.be
Responsible investment (or ESG), once a do-good sideshow, is becoming mainstream. Private equity managers must consider a host of issues, from gender diversity to carbon emissions, or risk losing investor capital and deals. The trend is only growing.
The challenge today is formalizing ESG policies to meet heightened standards. In this webinar, Navatar in conjunction with Invest Europe, brought together leading ESG thinkers from the industry to discuss how GPs should present their ESG framework to investors, what to consider during pre-investment due diligence, and ultimately portfolio monitoring and exit.
We address:
- Why your ESG strategy can make or break a deal
- What LPs want to see in your policies/practices
- Bringing your ESG DDQ to the next level
-Automation, plastics and other emerging ESG risks
Speakers:
- Maaike van der Schoot, Responsible Investment Officer, AlpInvest Partners
- James Holley, Head of ESG, Bridgepoint
- Graeme Ardus, Head of ESG, Triton Partners
- Jaideep Das, Partner, ERM
Topics that are needed innovation in ESG Imperative for sustainable management, investing, and development. Related references are provided for consulting innovation insights.
I. Innovation Agenda for ESG Metrics
II. Innovation Agenda for ESG Sustainability Analyses
This white paper was the culmination of a series of webinars and in-person conversations with corporate practitioners in the sustainability field. It provides the end user with an understanding of the ESG ratings and rankings field and helps prioritize engagement with the most influential organizations in the field.
A tour of the global ESG standards landscape, 100 days out from COP26, explaining how Inline XBRL, a building block approach to international standards consistency, and independent review of coming mandatory ESG disclosures will change reporting. Presented to the Taiwan Stock Exchange 21 July 2021.
ESG Roadmap: Observations and practical advice for boards, corporate secretar...Mike Wallace
Company governance practices and failures have long been an important factor in investor
analysis of a firm’s short-term and long-term value. Over the last several decades—with an
acceleration in the last five years—the relevance to investors of a company’s environmental and
social impacts stemming from its practices, policies and products has increased substantially.
Effective oversight and management by boards, corporate secretaries and sustainability teams
of so-called “ESG” (environmental, social and governance) issues are increasingly important to
preserving and creating shareholder value. Driven by client demand, reputational risk
management and a supportive body of financial research, many investors are demanding that
companies think more broadly about their ESG impacts, take corrective action (if required) and
disclose their ESG-related efforts. In this brief, we will examine the drivers of the growth in
ESG-related investing and engagement, explore ESG’s impact on financial products and
strategies and suggest practical advice to assist boards, corporate secretaries and sustainability
teams.
UN SDG SDGs Sustainability Impacts KPIs are for the assessment of actual impacts on sustainable development through sustainability impact management and investment.
Example/Best practices of sustainability impact management and investment for each SDG ESG topics are illustrated.
OECD Workshop: Measuring Business Impacts on People’s Well-being, Tom BeagentStatsCommunications
OECD Workshop: Measuring Business Impacts on People’s Well-being, 23-24 February 2017, Paris, France, More information at: http://www.oecd.org/statistics/oecd-workshop-on-measuring-business-impacts-on-peoples-well-being.htm
GreenBiz 19 Workshop Slides: The Evolution of Social and Human Capital Manage...GreenBiz Group
Corporate managers have long heralded people as their companies’ most important assets and research confirms the vital role of human capital in long-term value creation. In recognizing the importance and value of social and human capital many corporations, their investors, stakeholders and business partners are seeking to integrate consistent, standard, and widely accepted valuation and decision making tools. This session will discuss the evolution of the Social & Human Capital Coalition. The Coalition and key stakeholders will delve into the latest trends around valuing social and human capital, as well as the application of the Social & Human Capital Protocol.
The link between risk management critical controls and auditingNimonik
Nimonik partner and owner of Management Horizons will be speaking on the linkage between operational risk management, critical controls and governance; which should include periodic audits and assessments. Once companies have covered off base line regulatory compliance, they must embark on a journey to reach operational excellence. Mr. Wolfe will explain how leading companies utilize their risk management business process to identify their biggest risks and associated critical controls, and then utilize various assurance processes such as audits and assessments to assure the efficacy of these controls.
ERM partnered with a range of leading experts and institutions in June 2019 to bring the latest ESG and sustainability information to the Asian markets. Partners in this tour included, the Stock Exchange of Thailand (SET); Hong Kong Stock Exchange (HKEX); Bloomberg; Citi; Robeco; The Economist; and CDP.
The impact of coronavirus on the tech industry - March 2020 CodinGame SurveyAude Barral
The health crisis caused by the Coronavirus has far from spared the tech industry.
Toward the end of March 2020, CodinGame surveyed over 2,700 developers from 150 countries. In this report, CodinGame provides exclusive data on the impact of the current situation on the economic stability of computer programming jobs around the world.
CITI: Guidance for Investor Relations Officers on Managing ESG DemandMike Wallace
We were asked to speak to a group of CITI clients about the latest trends in #sustainability and #ESG. This presentation provides the latest information on the growth of the #ESG market, as well as real examples of corporate ESG data and how it is being presented to and used by intermediaries like Bloomberg, MSCI, Sustainalytics and others, as well as by asset owners and managers.
ESG research and corporate sustainability assessment proof the correlation between sustainable management integration and superior financial performance
ESG Is No Longer Optional. What Every Private Equity Manager Should KnowNavatar
Recording: https://www.youtube.com/watch?v=K5NBmZs84gY&feature=youtu.be
Responsible investment (or ESG), once a do-good sideshow, is becoming mainstream. Private equity managers must consider a host of issues, from gender diversity to carbon emissions, or risk losing investor capital and deals. The trend is only growing.
The challenge today is formalizing ESG policies to meet heightened standards. In this webinar, Navatar in conjunction with Invest Europe, brought together leading ESG thinkers from the industry to discuss how GPs should present their ESG framework to investors, what to consider during pre-investment due diligence, and ultimately portfolio monitoring and exit.
We address:
- Why your ESG strategy can make or break a deal
- What LPs want to see in your policies/practices
- Bringing your ESG DDQ to the next level
-Automation, plastics and other emerging ESG risks
Speakers:
- Maaike van der Schoot, Responsible Investment Officer, AlpInvest Partners
- James Holley, Head of ESG, Bridgepoint
- Graeme Ardus, Head of ESG, Triton Partners
- Jaideep Das, Partner, ERM
Topics that are needed innovation in ESG Imperative for sustainable management, investing, and development. Related references are provided for consulting innovation insights.
I. Innovation Agenda for ESG Metrics
II. Innovation Agenda for ESG Sustainability Analyses
This white paper was the culmination of a series of webinars and in-person conversations with corporate practitioners in the sustainability field. It provides the end user with an understanding of the ESG ratings and rankings field and helps prioritize engagement with the most influential organizations in the field.
A tour of the global ESG standards landscape, 100 days out from COP26, explaining how Inline XBRL, a building block approach to international standards consistency, and independent review of coming mandatory ESG disclosures will change reporting. Presented to the Taiwan Stock Exchange 21 July 2021.
ESG Roadmap: Observations and practical advice for boards, corporate secretar...Mike Wallace
Company governance practices and failures have long been an important factor in investor
analysis of a firm’s short-term and long-term value. Over the last several decades—with an
acceleration in the last five years—the relevance to investors of a company’s environmental and
social impacts stemming from its practices, policies and products has increased substantially.
Effective oversight and management by boards, corporate secretaries and sustainability teams
of so-called “ESG” (environmental, social and governance) issues are increasingly important to
preserving and creating shareholder value. Driven by client demand, reputational risk
management and a supportive body of financial research, many investors are demanding that
companies think more broadly about their ESG impacts, take corrective action (if required) and
disclose their ESG-related efforts. In this brief, we will examine the drivers of the growth in
ESG-related investing and engagement, explore ESG’s impact on financial products and
strategies and suggest practical advice to assist boards, corporate secretaries and sustainability
teams.
UN SDG SDGs Sustainability Impacts KPIs are for the assessment of actual impacts on sustainable development through sustainability impact management and investment.
Example/Best practices of sustainability impact management and investment for each SDG ESG topics are illustrated.
OECD Workshop: Measuring Business Impacts on People’s Well-being, Tom BeagentStatsCommunications
OECD Workshop: Measuring Business Impacts on People’s Well-being, 23-24 February 2017, Paris, France, More information at: http://www.oecd.org/statistics/oecd-workshop-on-measuring-business-impacts-on-peoples-well-being.htm
GreenBiz 19 Workshop Slides: The Evolution of Social and Human Capital Manage...GreenBiz Group
Corporate managers have long heralded people as their companies’ most important assets and research confirms the vital role of human capital in long-term value creation. In recognizing the importance and value of social and human capital many corporations, their investors, stakeholders and business partners are seeking to integrate consistent, standard, and widely accepted valuation and decision making tools. This session will discuss the evolution of the Social & Human Capital Coalition. The Coalition and key stakeholders will delve into the latest trends around valuing social and human capital, as well as the application of the Social & Human Capital Protocol.
The link between risk management critical controls and auditingNimonik
Nimonik partner and owner of Management Horizons will be speaking on the linkage between operational risk management, critical controls and governance; which should include periodic audits and assessments. Once companies have covered off base line regulatory compliance, they must embark on a journey to reach operational excellence. Mr. Wolfe will explain how leading companies utilize their risk management business process to identify their biggest risks and associated critical controls, and then utilize various assurance processes such as audits and assessments to assure the efficacy of these controls.
ERM partnered with a range of leading experts and institutions in June 2019 to bring the latest ESG and sustainability information to the Asian markets. Partners in this tour included, the Stock Exchange of Thailand (SET); Hong Kong Stock Exchange (HKEX); Bloomberg; Citi; Robeco; The Economist; and CDP.
The impact of coronavirus on the tech industry - March 2020 CodinGame SurveyAude Barral
The health crisis caused by the Coronavirus has far from spared the tech industry.
Toward the end of March 2020, CodinGame surveyed over 2,700 developers from 150 countries. In this report, CodinGame provides exclusive data on the impact of the current situation on the economic stability of computer programming jobs around the world.
CITI: Guidance for Investor Relations Officers on Managing ESG DemandMike Wallace
We were asked to speak to a group of CITI clients about the latest trends in #sustainability and #ESG. This presentation provides the latest information on the growth of the #ESG market, as well as real examples of corporate ESG data and how it is being presented to and used by intermediaries like Bloomberg, MSCI, Sustainalytics and others, as well as by asset owners and managers.
What Content Must Learn from Advertising #ContentIsrael15MRY
Presented at Content Israel 2015, Group Strategy Director Eli Pakier offers original research to look at the blurring line between content and advertising, and then offers four ways content marketers can learn from advertisers.
Thomson Reuters is the leading source of intelligent information for the world’s businesses and professionals, providing customers with competitive advantage. Intelligent information is a unique synthesis of human intelligence, industry expertise and innovative technology that provides decision-makers with the knowledge to act, enabling them to make better decisions faster. Through approximately 60,000 employees across more than 100 countries, we deliver this must-have insight to the financial and risk, legal, tax and accounting, intellectual property and science and media markets, powered by the world’s most trusted news organization. Thomson Reuters shares are listed on the Toronto Stock Exchange and New York Stock Exchange (symbol: TRI) and our headquarters are located at 3 Times Square, New York, New York 10036.
Presented during Creative Week 2012, R/GA's Vin Farrell and Taras Wayner discuss how R/GA's unique Digital Studio uses a steamlined production and storytelling model to efficiently create inspiring, informative and entertaining digital videos.
Successful digital experiences require seamless integration between a clear idea and solid execution. So why do we wait until the end to figure out the execution part? Drawing on his experience with Will Turnage, R/GA's VP of Technology & Invention, shares his process for brainstorming and prototyping digital products (e.g. social, mobile, etc) with an eye toward technical execution.
The New (Micro) Leisure: Redefining Downtime in a Connected WorldMRY
Leisure time used to be defined by long summer vacations and 5 o'clock happy hours. But in today's overscheduled, constantly connected, mobile-driven world, downtime has been downsized to moments of digital relief that can last a matter of seconds. Here's how brands can learn to navigate this new reality.
The word is getting out. Great web site experiences require careful development and crafty execution in the front end. Squeezing every drop of performance out of your user's browser is tough, but Steve Souders and friends have mobilized an army, and we are all having a bloody good go.
But there is a common threat to doing great work in the front-end. It lurks in the back-end and clients love it. It's the content management system, and more often than not, it stinks.
We'll look at examples of the damaging traces CMSs leave behind in the front-end and at how we might work to reduce them. We'll find ways to fight for what matters in a CMS, and ways to avoid the smell of your CMS wafting over to the user and sacrificing the craftsmanship of good front-end engineering.
Find video of this presentation
Greg has expertise for over 20 years in the areas of applied data analysis techniques, instructional design, training and development.Root Cause and Corrective Action (RCCA) Workshop
Adoption of New Service Development Tools in the Financial Service IndustryDayu Tony Jin
This is the presentation slide that I presented at IEEE International Conference on Industrial Engineering and Engineering Management 2011, Macau.
This paper looks into antecedents of new service development tool adoption by using Theory of Planned Behavior. Empirical study was conducted among Singapore financial service firms.
The results show that usefulness, ease of use, compatibility and resource commitment significantly affect tool adoption behavior.
This discussion session gathers key influencers from the ESG performance ranking community to discuss recent major developments in ESG research and ratings, and what those mean for companies (featuring important recent announcements by GISR, Sustainalytics and Bloomberg, among others). The conversation will explore the evolution of measurement and disclosure principles for purposes of ESG performance rankings – including the question of driving more transparency – in an effort to help companies trying to understand the complex ESG research and ratings landscape. This session would be particularly useful to any company experiencing a mismatch between what it's reporting on its sustainability performance, on the one hand, and what its external stakeholders are asking or expecting, on the other.
Health Informatics – Application of Clinical Risk Management to the Manufacture and Deployment of Health Software. Thick M. eHealth week 2010 (Barcelona: CCIB Convention Centre; 2010)
2. Bloomberg's Core Values
Socially
Responsible
Investing:
1. Social
2. Environmental
3. Ethical Mission
Vision
Statement: Statement1:
Progress with To deliver the
Sustainability best information
possible
Environmental
Social
Governance:
Measurement of
Corporate
Responsibility
Analysis Recommendation Implementation Financials Conclusion
3. Competitive Advantage
• Leader in analytic research
• All in one computerized
terminals
• Globally used software
• Multiplatform media delivery
• Fortune 100 best company to
work for2
• Top 50 green company2
Analysis Recommendation Implementation Financials Conclusion
4. Current Weaknesses
• ESG related terminal sales low
• ESG Research is labor Intensive
• Gaps in “non-financial” data
?
Analysis Recommendation Implementation Financials Conclusion
5. Continuing Opportunities
• Deriving data
• Creating analytical tools to measure ESG metrics
• SRI screened funds increasing
• SRI index returned 9.5% yearly versus S & P 500 8.6%3
• Potential growth in carbon credit trading
Analysis Recommendation Implementation Financials Conclusion
6. Biggest Threats
• Competitors offering ESG data to SRI fund managers
• No international standards on collecting data
• Competitors gaining ground is rapidly expanding SRI
market
Analysis Recommendation Implementation Financials Conclusion
7. Decision
Outsource In House
Analysis Recommendation Implementation Financials Conclusion
8. Recommendations
Develop
Promote New
Derive ESG Data Industry Specific
ESG Tools
Benchmarks
Issues Issues
Issues
Assumptions based on Developing a fair and
Unknown benefits of
incomplete data unbiased system
new tools
Risks Risks
Risks
Compromised Negative impact of
Lack of adoption
integrity imprecise ratings
Analysis Recommendation Implementation Financials Conclusion
9. Recommendations
Develop
Promote New
Derive ESG Data Industry Specific
ESG Tools
Benchmarks
Issues Issues
Issues
Assumptions based on Developing a fair and
Unknown benefits of
incomplete data unbiased system
new tools
Risks Risks
Risks
Compromised Negative impact of
Lack of adoption
integrity imprecise ratings
Analysis Recommendation Implementation Financials Conclusion
10. Recommendations
Develop
Promote New
Derive ESG Data Industry Specific
ESG Tools
Benchmarks
Issues Issues
Issues
Assumptions based on Developing a fair and
Unknown benefits of
incomplete data unbiased system
new tools
Risks Risks
Risks
Compromised Negative impact of
Lack of adoption
integrity imprecise ratings
Analysis Recommendation Implementation Financials Conclusion
11. Recommendation Effects
Provides the best information
available to evaluate SRI metrics
Positions Bloomberg to capture
emerging market share
Position Bloomberg as a leader in
information on Carbon Trading
Analysis Recommendation Implementation Financials Conclusion
12. Implementation
Hire employees to derive ESG
data
Make rating system relative to
industry
Roll out marketing and
promotion plan to push ESG
analytical tools
Analysis Recommendation Implementation Financials Conclusion
13. Timeline of Implementation
March 2011 June September December 2012 2013
Recruitment and
Hiring of New
Employees
“Data Scraping”
and Quantitative
Analysis of Data
Develop Industry
Specific Rating
System
Rollout of new
ESG Products
Promotion of New ESG Analytical Tools
Evaluation of
Implementation
1 Short Term 2 Long Term
Analysis Recommendation Implementation Financials Conclusion
14. Assumptions
US and EU SRI assets under Traders to asset ratio 1
management $9.941 trillion4,5 trader/$750m assets
SRI portfolios increasing 3.6%
Cost of Living Increase 3% yearly4
Euro to Dollar exchange rate Inflation rate 2%7
$1.37536
Analysis Recommendation Implementation Financials Conclusion
15. Cost of Deriving Data
1. Hiring Employees
Average Salary for research analysts in New York City with 1-4yr experience including,
Health Benefits & Compensation
Trucost employees 11 analysts8
Bloomberg at the start of the roll out in 2008 had 5 analysts
According to our calculations:
117k X 6 New analysts9
250k X 1 Ph.D. statistician9 952k a year
2. Marketing Plan
$ 5 million per year for employee training and sales material
Analysis Recommendation Implementation Financials Conclusion
16. Projected Profit for US and EU
Year 0 Year 1 Year 2 Year 3 Year 4 Year 5
$ (000)
(2011) (2012) (2013) (2014) (2015) (2016)
New Cost 5,952 6,010 6,191 6,376 6,568 6,765
Projected
119 12,843 13,306 13,785 14,280 14,795
Growth
Recurring
119 1,296 13,161 24,454 38,188 51,382
Units Sold
Net Profit
(3714) 5,284 13,180 21,360 29,836 38,618
After Tax
Projected 5 year Profit $104,563,937
Analysis Recommendation Implementation Financials Conclusion