Evergreen Consultants has launched the Evergreen Responsible Investment Grading (ERIG) Index, which rates funds across environmental, social and governance (ESG) ranges.
As part of the process, in partnership with the Recording Industry Association of America (RIAA), the ERG Index provides scores out of 10 across seven areas of the RIAA Responsible Investment spectrum that cover ESG integration into impact (avoid harm). did. Investment (contributes to the solution).
To calculate the score, managers were asked to fill out a questionnaire of hundreds of questions prepared from the United Nations Principles for Responsible Investment (PRI) and RIAA resources.
Percentage of fund managers adopting each function in RI spectrum
Source: Evergreen Consultant; RIAA
Funds can be compared to peers and sector averages, and information is organized into quartile rankings.
Money management Recently used the data to compare the best bond funds Both ends of the spectrum, ESG integration and impact investing.
Michael Ohlsson, director of Evergreen Consultants, said users can filter by inclusion and exclusion of sectors and specific responsible investments.
“The sectors I wanted were Australian small caps and global fixed income, not the production of weapons, tobacco or alcohol, but the green building,” Ohlsson said.
“The advantage is that advisors who want to use the website can build a portfolio based on their specific likes and dislikes.”
Ohlsson also said it has partnered with a financial planning software company to integrate its indexes into its software and significantly increase its financial advisor’s footprint.
“We will also leverage our relationships with professional paraplanning companies to use the ERG index as a benchmark for selecting RI funds to include in our client portfolio,” Ohlsson said.
“We are also working with an independent consultant on the Investment Commission to help us adopt the ERG Index.”
Angela Ashton, founder and director of Evergreen Consultants, said the project started late last year.
“Responsible investment has been and has been a must for at least the last decade,” Ashton said.
“We made a strategic decision 18 months ago and tried to be a leader rather than a follower in this area.
“In our view, this is not a fad or trend, but virtually daily evidence that responsible investment is becoming more important every day.”
The service is expected to cost $ 25 a month, and users will be able to store their portfolios there, Ashton said.
“Initially, it’s free for the first month, because we’re considering all payment gateways,” Ashton said.
Evergreen Announces ESG Index | Money Management
Source link Evergreen Announces ESG Index | Money Management