FactSet and Alveo have collaborated to address environmental, social, and governance (ESG) data integration requirements for clients.
The joint effort includes Alveo making FactSet’s ESG data sets available in its data management platform.
In addition, Alveo’s data mastering and analytics solutions will be included in the Open:FactSet Marketplace.
Alveo focuses on the integration of market and reference data from different sources covering all asset classes such as pricing information, referential information and issuer and corporate actions data.
Jonathan Reeve, senior vice president, head of content and technology solutions at FactSet, explains that solid and scalable ESG data integration has rapidly become a must-have in investment management.
“We are pleased to be working with the Alveo team to help our clients address their financial reference data integration and analytics challenges,” Reeve says.
Mark Hepsworth, CEO, Alveo, suggests that ESG is one of the biggest trends impacting investment management and it brings a significant requirement for data and data management technology.
Hepsworth states: “We are very happy to work with FactSet on this initiative. We have been integrating and mastering reference data for investment managers for many years and ESG is the most recent expansion of that data set. However, clients want to manipulate and create their own opinions and analytics on ESG data.”
In April, the Association for Financial Markets in Europe (AFME) argued that a central component to unlocking change at the scale needed is for the regulatory framework to enable the procurement and disclosure of high-quality, comparable ESG data.
The European ESG Disclosure Landscape for Banks and Capital Markets report, written in partnership with Latham & Watkins, mapped the complex ESG reporting landscape for financial institutions.
The report called on policymakers and regulators to build a coherent framework to support sustainable finance by prioritising the availability of high-quality data from non-financial corporates.
“Data is the lifeblood of financial markets. Without a clear regulatory framework to ensure financial institutions and investors have access to comparable ESG data from borrowers and issuers, allocating capital to supporting real economy transition plans will remain challenging,” the report stated.
