Financial data and analytics consultancy Element 22 and Agility Sciences, the specialist distributed ledger developer, have launched a new innovative technology solution called ESGi.
ESGi sources environmental, social and governance (ESG) data for the investment industry.
The solution will initially enable fund managers to source the mandatory ESG data needed to comply with the imminent Sustainable Finance Disclosure Regulation (SFDR), the European Union’s harmonised rules on sustainability?related disclosures to end investors.
The functionality will eventually be incorporated into the solution to help firms comply with further regulations, both within and outside the EU.
ESGi can also be used to support an increasing number of use cases for ESG data beyond regulatory compliance, such as portfolio construction and monitoring.
According to Agility Sciences, ESGi has been developed as an authoritative source using Agility Sciences’ permissioned distributed ledger platform, ActiveLedger.
Agility Sciences says this ensures a tamper proof, immutable and interoperable solution that uses a fraction of the energy of public blockchains. ESG data is requested, published, challenged and attested in real time, with transparent business rules applied across the data.
Mark Davies, partner at Element22, says: “We have extensive experience in building solutions that can simplify complex data challenges for the financial services industry. We will apply this experience to ESGi as we help our buy-side clients to comply with SFDR and future ESG-related regulations.”
Martyn Walker, CEO of Agility Sciences, adds: “We are excited to be launching ESGi in partnership with Element22. The combination of their industry experience and our technology expertise delivers unparalleled benefits to the investment management community. We look forward to working with asset managers in support of their efforts to comply with SFDR and future ESG-related regulations.”
