Article
September 20, 2023

How Matter’s data integration with eVestment helps embed ESG and impact insights into asset manager selection

Matter has partnered with asset manager selection platform eVestment - a part of Nasdaq, to integrate ESG and Impact insights into the manager selection process.

Highlights

1. Matter's ESG and sustainability insights are now available on eVestment's Asset Manager selection, due diligence and monitoring platform

2. Dozens of sustainability themes available, from CO2 Emissions to SDG alignment

3. Coverage of over 8,000 strategies  

4. Accounting for more than USD50 trillion in AUM

Look beyond ESG strategies and understand what Asset Managers actually invest in

The discussion around ESG and sustainability is well-established by now. Much of the focus and debate thus far has been on the relationship between asset managers (AMs) and investee companies. Less attention has been paid to the importance of ESG and impact for the providers of capital, asset owners (AOs), particularly in regard to their relationship with the managers they select to invest on their behalf. 

This is not down to a lack importance assigned to ESG by AOs in the manager selection process. A Morgan Stanley survey suggests that 57% of asset owners foresee a near future where they will limit allocations to managers without a formal ESG approach. Increasingly, AMs are disclosing their ESG policies and strategies, but this only tells half the story, as qualitative data on the ESG policies of AMs does not reflect the ESG performance of the investments themselves. 

Up to now, however, there has been a data gap for asset owners. A study conducted by Northern Trust found the 79% of asset owners identified "collecting and analysing data" as a top challenge in incorporating ESG into their investment process. Engaging individually with AMs on disclosures can be a cumbersome and time-consuming process. Matter's integration with eVestment solves this problem. 

Integrating Matter's sustainability data into Asset Manager selection

To help AOs build a comprehensive picture of the sustainability of AMs, Matter has partnered with eVestment, a platform for manager due diligence, selection and monitoring, to integrate Matter's sustainability insights directly onto the eVestment platform. This means AOs using eVestment's platform for manager selection can now see both qualitative insights on the ESG policies and strategies employed by AMs, but also the real world outcomes generated by their investments, from carbon emissions, to gender diversity, SDG alignment and beyond.

Highlights of the integration for eVestment users are: 

  1. Coverage of over 8,000 strategies, accounting for more than USD50 trillion in AUM 
  2. Access ESG profile for all strategies based on specific ESG criteria 
  3. Compare strategies to each other, and their benchmarks and universes

Matter's integration is not a rating - we cover dozens of climate, social and governance-related themes and metrics. You can: 

  1. Screen managers' exposure to controversial activities based on detailed flagging of activities based on the actual holdings
  2. Instantly review managers performance of the most commonly used ESG metrics like GHG emissions, gender diversity and much more 
  3. Compare managers' investment in companies that produce sustainable products and services with systematic analysis of SDG revenue alignment

Sustainable finance is about better understanding how companies actually impact people and planet. Therefore the integration with eVestment provides users with access to facts, not opinions: 

  1. You can access structured and granular insights from company reported data
  2. All our insights are formulated intuitively and with high precision, and we always disclose sources and methods - allowing you to understand what is being measured, and what is not
  3. Our solutions are systematic and rules-based, and do not rely on individual analysts or black box methodologies

Asset manager selection requires a multi-dimensional analysis which draws on both qualitative strategy insights and quantitative data on the effects of those strategies in action.

Matter's partnership with eVestment strengthens the sustainable investment process, allowing investors to understand the real world outcomes that their managers expose them to. The integration adds transparency and accountability to the relationship between asset owners and asset managers, eases the measurement burden on AOs, and makes it easier for managers to understand the priorities of asset owners.  

If you would like to learn more about the partnership, please get in touch.

Author

Highlights

1. Matter's ESG and sustainability insights are now available on eVestment's Asset Manager selection, due diligence and monitoring platform

2. Dozens of sustainability themes available, from CO2 Emissions to SDG alignment

3. Coverage of over 8,000 strategies  

4. Accounting for more than USD50 trillion in AUM

Look beyond ESG strategies and understand what Asset Managers actually invest in

The discussion around ESG and sustainability is well-established by now. Much of the focus and debate thus far has been on the relationship between asset managers (AMs) and investee companies. Less attention has been paid to the importance of ESG and impact for the providers of capital, asset owners (AOs), particularly in regard to their relationship with the managers they select to invest on their behalf. 

This is not down to a lack importance assigned to ESG by AOs in the manager selection process. A Morgan Stanley survey suggests that 57% of asset owners foresee a near future where they will limit allocations to managers without a formal ESG approach. Increasingly, AMs are disclosing their ESG policies and strategies, but this only tells half the story, as qualitative data on the ESG policies of AMs does not reflect the ESG performance of the investments themselves. 

Up to now, however, there has been a data gap for asset owners. A study conducted by Northern Trust found the 79% of asset owners identified "collecting and analysing data" as a top challenge in incorporating ESG into their investment process. Engaging individually with AMs on disclosures can be a cumbersome and time-consuming process. Matter's integration with eVestment solves this problem. 

Integrating Matter's sustainability data into Asset Manager selection

To help AOs build a comprehensive picture of the sustainability of AMs, Matter has partnered with eVestment, a platform for manager due diligence, selection and monitoring, to integrate Matter's sustainability insights directly onto the eVestment platform. This means AOs using eVestment's platform for manager selection can now see both qualitative insights on the ESG policies and strategies employed by AMs, but also the real world outcomes generated by their investments, from carbon emissions, to gender diversity, SDG alignment and beyond.

Highlights of the integration for eVestment users are: 

  1. Coverage of over 8,000 strategies, accounting for more than USD50 trillion in AUM 
  2. Access ESG profile for all strategies based on specific ESG criteria 
  3. Compare strategies to each other, and their benchmarks and universes

Matter's integration is not a rating - we cover dozens of climate, social and governance-related themes and metrics. You can: 

  1. Screen managers' exposure to controversial activities based on detailed flagging of activities based on the actual holdings
  2. Instantly review managers performance of the most commonly used ESG metrics like GHG emissions, gender diversity and much more 
  3. Compare managers' investment in companies that produce sustainable products and services with systematic analysis of SDG revenue alignment

Sustainable finance is about better understanding how companies actually impact people and planet. Therefore the integration with eVestment provides users with access to facts, not opinions: 

  1. You can access structured and granular insights from company reported data
  2. All our insights are formulated intuitively and with high precision, and we always disclose sources and methods - allowing you to understand what is being measured, and what is not
  3. Our solutions are systematic and rules-based, and do not rely on individual analysts or black box methodologies

Asset manager selection requires a multi-dimensional analysis which draws on both qualitative strategy insights and quantitative data on the effects of those strategies in action.

Matter's partnership with eVestment strengthens the sustainable investment process, allowing investors to understand the real world outcomes that their managers expose them to. The integration adds transparency and accountability to the relationship between asset owners and asset managers, eases the measurement burden on AOs, and makes it easier for managers to understand the priorities of asset owners.  

If you would like to learn more about the partnership, please get in touch.

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