Sustainable Finance Data
A sharper focus on sustainability means institutions and finance professionals are looking beyond traditional analysis to assess risks and opportunities, and are factoring in environmental, social and governance (ESG) issues into their decision-making. ICE offers a range of cross asset sustainable finance data and tools that provide a comprehensive view of ESG issues across the market to help you uncover opportunities, manage risk, and provide transparency to your clients.
SEC’s proposal on climate-related disclosures for investors
Better understand the ESG risks and opportunities of equity and fixed income securities (including corporate bonds, municipals and mortgage-backed securities) with ICE’s ESG Data - coverage now includes 3 million fixed income instruments. The service provides detailed ESG attributes and indicators that may be financially-material, such as greenhouse gas (GHG) emissions reported, board diversity, benefits, workforce breakdown and many others, sourced from both company and publicly-available third-party sources. An ESG assessment and risk data is also available as part of the data set to provide a 360-degree view of ESG factors.
Features
Over 550 data attributes and indicators including greenhouse gas (GHG) emissions reported, board diversity, benefits, workforce breakdown and many others available on equity and fixed income securities.
With experience in researching corporate structures though our Business Entity Service, our ESG data is linked to individual securities using ICE corporate hierarchy entity data. This allows users to analyze data at the individual investment level.
Data is sourced and quality controlled through our dedicated team of reference data specialists. We aim to provide extensive and up to date coverage of multiple data sources and to endeavor to provide the most current ESG data to aid in your decision making.
In order to provide greater transparency into the risks of public companies, ESG risk data from RepRisk, an ESG data science company, is offered as part of this service. This risk-focused data set provides detailed metrics related to how a company manages its business conduct risks, based on third-party, publicly available sources external to a company.
As part of this service we also provide the BofA ESGMeterTM, a quantitative assessment of a company’s relative ESG performance to its peer group created using ICE’s ESG Data.
As interest in ESG grows, market participants are seeking to better understand the potential social impact of their investment. ICE’s Social Impact Scores provide socioeconomic and demographic data on the municipal bond and mortgage-backed security markets, enhancing the decision-making process for investors as they execute their sustainable and socially-conscious investing strategies.
The scores quantify the potential social impact of a financial investment in a community. It helps capture the structural challenges that people may face, to help identify targeted investments that can bring resources to vulnerable and marginalized communities - a key input to measuring and addressing progress on social and climate justice.
Features
CUSIP-level coverage of ~98% of the ~$4T in outstanding municipal debt and ~95% coverage of the U.S. MBS universe.
An easy-to-use score (0-100) to quantify the potential impact of a financial investment in a community. The Score is a combination of 7 individual metrics (each with a score of their own), that quantify the demographics and financial resources of the residents residing within a community. The underlying metrics capture the education level, type of employment, race, health challenges, affluence levels, poverty levels, and the percentage of income that a household spends on housing.
User friendly web platform with the ability to input any U.S. location to assess social impact opportunities and needs.
With extreme weather events on the rise there is increasing concern over how the U.S. municipal bond and mortgage-backed security markets, which may be particularly vulnerable to physical events, will manage these challenges. Investors in these markets need climate and ESG data to provide an added layer of transparency into the risks and opportunities in these markets.
Climate Data applies geospatial climate, economic and demographic data to specific U.S. municipalities, MBS pools, and related fixed income securities. This new level of transparency can help US municipal and MBS market participants make informed investment decisions on bonds or securities that may have high climate risk exposure in an existing portfolio.
Features
CUSIP-level coverage of ~98% of the ~$4T in outstanding municipal debt and ~95% coverage of the U.S. MBS universe.
Physical hazards measured includes heat stress, wildfire, flooding, hurricane and drought. Common financial metrics available to aid in the comparison of climate hazards, locations and securities. Underlying demographic and socioeconomic data for obligors and surrounding areas providing valuable additional information for analysis.
To allow for ease of comparison scores are available. The risQ Score is a unified metric on a scale of 0-5 used to compare securities, assess portfolios and benchmark to indices. The Score is built from underlying risQ Flood, risQ Wildfire and risQ Hurricane Scores.
Data can be provided in a file-based solution at the security level, allowing for integration into risk systems and other analytical tools. A user-friendly web platform is also available with climate risk and geospatial visualization.
Gain greater clarity on green, social, and sustainable bonds sourced from authoritative agencies and issuer documentation from our terms and conditions data service.
Impact bonds are typically issued in alignment with a recognised framework from bodies such as ICMA or Climate Bonds Initiative. ICE has four impact bond type classifications and supporting data is available via our reference data solution. Bond characteristics are collected from available bond prospectuses then any external agency validation of the status is identified and supplied.
Coverage includes green bonds, social bonds, sustainable bonds, sustainability-linked bonds.
Integrating municipal bond reference data from ICE with location specific, anonymized and aggregated workforce payroll data from ADP, this data sets adds transparency to the municipal bond market. With this data, market participants can better understand and assess the economic stability and creditworthiness of fixed income issuers in the U.S. municipal bond market. This data set can assess a wide range of dynamics that could impact a municipal issuer and supplement their fundamental research.
Features
ADP data covers approximately 1-in-6 of the working U.S. population across all 50 states. This data is then linked to more than 1 million municipal bonds.
ICE Composite Scores available include migration score; age score; income level score; industry sector score and an overall score. Scores are percentile ranked to make relative comparisons.
Granular aggregated and anonymized human capital data, including average gross pay, total projected income, average commute distance, details into specific job sectors and more than 50 other distinct fields.
Availability of demographic data with monthly updates from ADP.
ICE Data Indices has a range of fixed income sustainable benchmarks that reflect for Environmental, Social and Governance (ESG) factors in addition to other criteria. Our Sustainability Indices, which include ESG constrained indices, carbon indices and green bond indices, combine our fixed income capabilities with popular ESG strategy overlays.
Index Families
With the E.U. Sustainable Finance Action Plan the investment management community is facing a number of new requirements and deadlines to navigate these shifts. To help manage these requirements, ICE offers sustainable finance solutions to help support compliance and integrate ESG factors into the decision-making process.
Sustainability Finance Disclosure Regulation (SFDR)
The E.U.’s SFDR aims to standardize and modernize ESG-related disclosures to improve comparability between firms. To help aid in compliance to SFDR, ICE offers the SFDR Principle Adverse Impact (PAI) solution. Provided in conjunction with RepRisk, an ESG data science company, ICE offers continuously updated input values for mandatory corporate SFDR indicators and can provide optional indicators.
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