Your guide to ESG reporting
Martin Skancke, board chair for the Principles for Responsible Investment (PRI)
“Institutional investors need investment grade ESG data to accurately inform their decision making and asset allocation."
Dimitris Tsitsiragos, IFC Vice President, New Business
"Lack of standardized reporting has always been a challenge to many investors."
London Stock Exchange Group has issued guidance, setting out recommendations for good practice in Environmental, Social and Governance reporting (ESG). The global guide responds to demand from investors for a more consistent approach to ESG reporting, which is now a core part of the investment decision process. This guide is available on-line to both issuers and investors globally. It has also been sent to more than 2,700 companies that have securities listed on LSEG’s UK and Italian markets with a combined market capitalisation of more than £5 trillion.
The report’s intention is to help companies gain a clear understanding of what ESG information investors would like to see provided by companies. London Stock Exchange Group, as a leading international markets infrastructure provider connected to issuers, sell side and investors, is ideally placed to help promote good practice across the industry. Over the past year, the Group has spoken to companies of all sizes listed on London Stock Exchange and Borsa Italiana and FTSE Russell has engaged with asset owners and asset managers to understand the key challenges that face the industry in regards to ESG reporting.
Dimitris Tsitsiragos, IFC Vice President, New Business;
"Lack of standardized reporting has always been a challenge to many investors. The launch of the environmental, social and governance reporting guidelines by the London Stock Exchange Group is a milestone, which will facilitate the connection between sustainable companies and investors. We welcome this step and hope other stock exchanges around the world will follow suit."
Martin Skancke, board chair for the Principles for Responsible Investment (PRI);
"Institutional investors need investment grade ESG data to accurately inform their decision making and asset allocation. Exchange operators have a major role to play in supporting enhanced data disclosure so we commend the London Stock Exchange Group for their leadership towards improving dialogue and ESG data flows across the investment chain and call on other exchange groups to follow suit."