Our driving meaningful data approach

PRI anticipates the investors will have a multi-faceted need for meaningful ESG data in the future – supporting both risk and return investment decision-making and assessing the sustainability performance of corporate entities.

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Driving meaningful data: financial materiality, sustainability performance and sustainability outcomes

‘Driving meaningful data throughout markets’ is a key PRI Blueprint target. It aims to enable the flow of reliable and comparable data from corporations through the investment chain to beneficiaries and clients. Investors state that ESG is a particular concern. They regularly report to the PRI that a lack of ...

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Accounting for climate change

Investors are calling out for hard information on the financial impacts climate change will have on companies. The financials define profitability and drive executive remuneration, so ensuring they properly reflect climate-related risks is crucial. Investment decisions, both by companies and investors, depend on the numbers disclosed in the audited financial statements.

The increased recognition of the role of responsible investors in shaping sustainability outcomes as concepts of relevance to financial markets is forcing a reconsideration of the types of decisions they need to make, and “decision-useful” data needed to support them. For many investors and PRI signatories, the effect of ESG risks on individual investees’ financial positions is still their greatest concern. However, rising awareness of the need to analyse and understand sustainability performance in the context of social and environmental outcomes, leads us to think more broadly about what data is needed, in what form and for what purposes.

The PRI’s Driving Meaningful Data programme will work on the types of data, sources and reporting frameworks needed to support responsible investors. The first step is the publication of PRI’s data framework. The challenge of developing consistent data across all the various units and entities, as well as addressing gaps identified through the framework, will require collaboration with others across the financial and corporate sectors. This includes standard setters, policy makers and regulators, and other key stakeholders. The PRI will have an important role in working with our signatories to provide a clear signal on their data needs, how they aid decision-making and understanding their contribution towards sustainability objectives.

Contact at PRI
Morgan Slebos: morgan.slebos@unpri.org

Blog

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Evolving ESG data: financial materiality, sustainability performance and sustainability outcomes

2020-09-24T15:18:00+01:00

By Morgan Slebos, Director of Sustainable Markets