SIX, a prominent financial information provider, has significantly enhanced its ESG and regulatory risk data services.
According to Asset Servicing Times, in a strategic move to address the growing need for comprehensive climate-related information, SIX has introduced an innovative climate data product. This development is poised to reshape the landscape of climate risk assessment and decision-making in the FinTech sector.
The newly launched product amalgamates a variety of data sets, encompassing regulatory, historical, and predictive elements of climate impacts. It offers an extensive coverage, featuring modelled and reported emissions data for over 33,000 companies spanning diverse geographies and industries. This expansion underscores SIX’s commitment to providing detailed and actionable climate data to its clients.
A key aspect of this initiative is the inclusion of the global Greenhouse Gas Emissions Dataset from CDP, an environmental data disclosure platform. SIX’s recent partnership with CDP represents a strategic alignment with leading sources of environmental data, reinforcing the depth and reliability of its offering.
Clients leveraging SIX’s service can expect robust support in several critical areas: reporting and monitoring of climate factors, making informed climate-related investment decisions, and enhancing risk decision-making processes. This comprehensive approach to climate data is a testament to SIX’s dedication to empowering its clients in navigating the increasingly complex landscape of climate-related financial decision-making.
The impetus for this expansion is rooted in the escalating global regulatory focus on climate-related data. Notable frameworks such as the Task Force on Climate-Related Financial Disclosures (TCFD), the EU’s Sustainable Finance Disclosure Regulation (SFDR), and the US Securities and Exchange Commission’s Climate Disclosure Rules are driving the demand for more detailed and accurate climate data.
Martina Macpherson, head of ESG product strategy and management for financial information at SIX, emphasised the criticality of this venture. “Understanding, measuring and managing climate risk and opportunities, as well as the impact that these can have on investment decisions, is a critical area of focus for market participants and policy makers alike,” she said. Macpherson further highlighted the increasing cost implications of compliance in terms of operations and the need for specialised ESG resources, underscoring the value of SIX’s collaboration with established ESG and climate data providers.
The move by SIX is a significant step in enhancing the capabilities of market participants to effectively address climate risks and opportunities, marking a pivotal development in the FinTech industry.