ISS ESG has released a customisable version of its Climate Impact Report to help investors improve their climate-related target-setting, risk management, reporting, and engagement activities. The tool leverages ISS ESG’s scenario alignment offering, which has been supplemented to reflect the latest developments in best practices for measuring portfolio alignment and incorporated the recommendations of the Glasgow Financial Alliance for Net Zero for transition planning by financial institutions. Policy and technological developments are assessed through report’s scenario analysis models, as well as projected temperature rises ranging from 1.5°C to more than 3°C by 2050. The new offering looks to meet market demand for a more unified approach to scenario alignment, by enabling subscribers to customise the scenario alignment section of their climate impact report and base their analysis on a selected single model. ISS ESG subscribers can select either a standard or advanced package, incorporating either two or five possible models respectively, and up to 22 possible scenarios. Using the tool, investors can assess the performance of their portfolios for both 2030 and 2050, with the new report applying implied temperature rise metrics. ISS ESG plans to further innovate its climate solutions suite next year. ISS ESG is the sustainable investment arm of global index provider ISS STOXX.
