Institutional Shareholder Services Inc. (“ISS”), the leading provider of end-to-end corporate governance and responsible investment solutions to the global financial community, announced the acquisition of the investment climate data division of South Pole Group which delivers climate change solutions to the financial industry.
Established in 2010 and based in Zurich, the investment climate data division provides investors, asset owners, fund managers and banks with both data and analytics to measure the impact of climate change on portfolios. The group established the world’s largest database of company-level climate change data and pioneered the development of leading, standardized investment carbon screening tools, resulting in the screening for climate change implications of over USD 2 trillion of assets under management. Since inception, the group has broadened and deepened its methodologies, continually innovating new methodologies and measurement approaches for different asset classes. Today, the unit offers support to financial market participants and governments to help them understand, measure and act upon climate change risk and its impact on investments across all asset classes.
Group founder, Dr. Maximilian Horster, will join ISS as a Managing Director. Prior to starting the group, Horster worked in various roles with the Capital Group Companies and is a recognized authority and speaker on climate change issues.
“This acquisition underscores our continued commitment to assist investment professionals through a rapidly growing suite of responsible investment (RI) solutions,” said Marija Kramer, Head of Responsible Investment at ISS. “Climate change is among the top issues for investors globally and we are pleased to integrate their deep expertise, data, analytics, and advisory with our existing services covering RI policy development, screening, engagement and more.”
Today’s acquisition further cements ISS’ position as the leading provider of tools and services that enable investors to develop and integrate responsible investing policies and practices into their strategies, and execute upon those policies through end-to-end voting. ISS now delivers comprehensive solutions that combine ISS’ extensive expertise in corporate governance with the expertise from ISS-Ethix in environmental and social research and analysis.
“As a growing number of institutional investors have shown this year when voting their shares, portfolio company exposure to, and action on, climate change is of critical import,” said Horster. “With the combination of ISS-Ethix’s deep expertise in responsible investment research and our data, research, and advisory, institutional investors will have an enhanced turn-key solution on which they can rely for their investment-decision making.”