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Trucost enables investors to meet the environmental aims of the Principles for Responsible Investment
How can Trucost help investors to meet the Principles?
Trucost has the world's largest database of standardised data on carbon as well as disclosures on the complete range of environmental impacts from more than 3,500 companies globally.
Trucost’s data presents environmental impacts in both quantity and in financial terms in order that they can be more widely understood and compatible with existing financial analysis.
The data allows investors to integrate environmental factors into mainstream investment decision making, pursue active ownership with companies, increase transparency and achieve better long term financial returns in line with the Principles for Responsible Investment (PRI):
Better environmental and financial returns: The goal of PRI is to improve returns to beneficiaries. Back-testing shows that integrating Trucost environmental data into the investment process can enable investors to achieve this.
Incorporating the environment into the investment process: Trucost’s database of the environmental impacts of the largest 3,500 companies globally enables investors to understand and assess environmental risk across all sectors. This data can be integrated into mainstream investment analysis.
Active ownership: Investors use Trucost data to identify portfolio companies that are failing to disclose environmental impacts. Trucost considers over 700 separate pieces of legislation, current and planned, and the impact these may have on companies based on their sector mix and geography. This information is of value, both to the companies themselves and to their investors.
Transparency and reporting: Trucost Footprint reports show the carbon or environmental intensity of funds under management or on a portfolio basis, enabling ongoing monitoring and communication of environmental factors, as well as the carbon optimisation of funds.
Encouraging disclosure: Trucost data shows company environmental impacts in financial terms even where companies do not disclose. With this data investors can better understand which environmental impacts are material and call for further disclosure from companies. |