MSCI ESG Research has unveiled ratings for 32,000 funds and exchange-traded funds (ETFs) for equity and fixed income instruments.
The funds or ETFs are scored based on their exposure to long-term ESG risks and opportunities and given a rating on a scale from AAA (leader) to CCC (laggard).
“The MSCI ESG Fund Ratings is designed to provide investors with greater transparency to better understand the ESG characteristics of fund and ETF components of their portfolios. As the number of ESG funds proliferate and ESG-orientated investment options and ESG strategies are being adopted by wealth and fund managers, we strive to provide the tools and solutions to help these investors better understand ESG risks” said Remy Briand, Head of ESG at MSCI.
The MSCI ESG Fund Ratings are designed to offer investors greater insights into the ESG characteristics of funds and ETFs as well as provide key additional information that may be used as part of clients’ ESG fund research, product selection, portfolio construction and portfolio reporting processes across asset classes. It brings together more than 200 additional metrics provide insights across multiple diverse dimensions, such as, carbon footprint, water exposure or governance risks.
“Through the MSCI ESG Fund Ratings we are providing our clients with an intuitive rating to assist their risk management and investment decision processes and to power better investment decisions,” Briand added.
