Use case · Online version
Sustainability Master
A sustainability-data-enriched single source of truth maintained enterprise-wide
Capture structured and unstructured ESG data, overlay your quantitative models, and feed a consistent master to reporting, book-of-records, and performance processes.
Download PDFEasy data management for a complex world
Pressure on fees, the growing burden of regulations, and increasing data complexity. The number of reasons to increase operational efficiency and lower costs is ever growing. Data needs to be reliable, manual errors need to be eliminated, and processes need to be automated.
We know software projects have been unrelentingly time-consuming and costly. We want to do better, and provide services proportional to the worth of the problem to you.
Fencore’s Sustainability Master is a single source of truth for your sustainability data. It captures structured as well as unstructured data across multiple sources and allows the organisation to overlay this core foundation with its own quantitative models. Based on full audit trail and data lineage, the solution provides a consistent ESG master for downstream systems and processes, including regulatory reporting, ESG book-of-records, and ESG-weighted performance measurement and attribution.
Summary
Investment managers work with multiple sources of sustainability data from data vendors and website downloads. The data has to be validated, stored, and combined using the firm’s proprietary ESG scoring methodology, and displayed on dashboards to show the level of consensus between ESG ratings providers.
Key features
High interoperability
DataHub can be easily connected to the required third-party data sources and internal systems for data imports and exports.
Flexible ESG scoring system
DataHub’s ESG scoring model can be fully customised to clients’ unique scoring methodologies.
Financial data integration
ESG data can be integrated with fundamental financial data models with optional side-by-side display.
Sustainability Master core features
Investment managers benefit from having both a broad and in-depth view of the ESG performance of assets in order for their teams to make portfolio decisions. Putting a sustainability master in place enables them to:
- Import data automatically and create average ESG scores according to their internal scoring methodology
- Allow users to view and interact with data that contributes to the final ESG scores
- Allow users to see how the ESG performance of assets varies over time
- Alert users to potential ESG violations
- Integrate ESG data with fundamental financial data, and apply custom mappings of instruments to issuers
- Store and distribute data to other offices
Common challenges and the Fencore solution
Common challenges
Manual maintenance of ESG scores, mapping, and data preparation
Data from multiple sources are collected and sustainability scores are aggregated on spreadsheets. These are often manually updated and maintained and used to enrich other financial data. Data may need to be remapped to different entities and instruments and compiled for distribution.
Poor data quality
Data sets from aggregators have to be compared against other sources with a full view of score attribution and levels of agreeability.
Governance challenges
Extensive use of spreadsheets and manual work leaves few and poor controls around ensuring data sets are maintained accurately, or an audit trail of users making changes.
Fencore solution
Creating the ESG master
DataHub automatically ingests and aggregates ESG data using the client’s unique ESG scoring methodology. Fundamental financial data is enriched and ESG scores and underlying data can be viewed alongside them. Instrument identification codes can be automatically remapped to target instruments and associated ESG data. Data is automatically prepared for distribution.
ESG data quality controls
DataHub carries out custom data quality checks, with data sources compared against each other for accuracy and levels of agreeability. The results can be viewed in a dedicated dashboard.
Data management
Four-eye approval processes can be configured together with access controls, and audit trail capability is automatically available. Complete data lineage from source to target is available for review.
Outcomes
- Hands-free trusted ESG data
- Increased operational efficiency
- Reduced risk
- Reduced manual work
Ready to take the next step? Request a demo and we will show you how Sustainability Master works with your sources and methodology.
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