Bloomberg has released a new tool to assist investors in assessing portfolios, funds and indices based on self-customised sustainability criteria and thresholds. The tool is available on the Bloomberg Terminal, offering a “transparent” screening process that can be used both for making investment decisions and to help clients with regulatory compliance. Users input investment preferences to customise the process by choosing from a range of criteria and calibrating precise thresholds for three categories: sustainability targets, exclusion or “no harm” criteria, and good governance requirements. The solution then calculates a percentage figure that shows how much of the portfolio, fund or index is aligned with the user’s criteria, and provides a detailed list view of all holdings to quickly detect any outliers. “Sustainability objectives vary from investor to investor, and from product to product. It can be difficult to fully understand whether a portfolio, fund or index meets your own definition of a sustainable investment,” said Patricia Torres, Global Head of Sustainable Finance Solutions at Bloomberg. “This new Bloomberg tool provides clarity and empowers the user to customise sustainable investment criteria to determine if portfolios, funds, or indices meet their requirements with confidence.”
