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ESG in Capital and Finance - Creating Value through ESG Performance

Fund managers and financial institutions are joining EcoVadis to measure and drive ESG goals

The Critical Need for ESG Management in Finance and Investing

Environmental, Social, and Governance (ESG) considerations are becoming a critical part of financial decisions driven by investors, regulators, society and the responsibility felt by the Finance sector.
There is a clear shift towards ESG-linked financing.

$18 Trillion of assets under management are subject to ESG considerations

20% Annual growth in aggregate capital raised by ESG-committed General Partners

3400+ signatories to
Principles for Responsible Investment

Leaders in finance are integrating ESG metrics into their investment strategies as well as their financing. By allocating capital to more sustainable businesses, finance leaders are sending a clear signal that ESG transparency and promoting sustainable practices are good for business.

How EcoVadis Creates Value and Drives Impact in Sustainable Finance

ESG Ratings for Private Equity

Fund managers are leveraging EcoVadis Ratings to monitor and track the ESG performance of their investment portfolio, meet reporting requirements and demonstrate value-add at exit.

ESG-Linked Financing

Banks and other financial institutions are driving ESG performance while creating innovative ESG-linked products by integrating EcoVadis Ratings into their eligibility criteria and linking ESG performance to financing products.

ESG Ratings for Private Debt

By offering an improved borrowing rate for clients who have a strong EcoVadis Rating, private debt managers are tracking and improving ESG performance across their portfolio of borrowers.

Sustainable Supply Chain Finance

Corporate buyers and financial institutions offering early invoice payment programs are now taking into account suppliers’ sustainability performance to provide more attractive financing terms in order to incentivise suppliers to improve on ESG.

The Intention is Prevalent But So Are
The Challenges

All financial market participants are grappling with:

  • A Lack of verifiable data for privately held SMEs
  • Limited relevant industry and geographical benchmarks
  • Aligning methodologies to changing global regulations
  • The need for actionable insights to drive improvement

EcoVadis ESG Ratings
for Sustainable Finance

Our proven methodology is aligned to global standards, covers 500+ regulations
and delivers validated ratings across 4 key themes.

Environment
Ethics
Labor & Human Rights
Sustainable Procurement

Our Solution Details

EcoVadis Dashboard

Develop a common understanding with your business partners of their assessed performance. Our team of 200+ analysts validates inputs. Our robust methodology scores performance.

Benchmarks

Assess your business partners’ performance and guide their improvement targets by leveraging relevant peer benchmarks. Compare overall or theme performance by industry or country.

Insights for Improvements

Gain insights into the strengths and improvement areas of your business partners and monitor year on year ESG performance improvements. Your business partners can benefit from an in-depth analyst debrief.

360° Watch & Live News

Monitor risk of your business network with 360° Watch. External inputs from over 100,000+ public sources are scanned to augment company-provided documentation and verified by EcoVadis analysts.

Metrics and Reporting

Report on your portfolio’s performance, program coverage and improvement over time with quantitative metrics and reports aligned to international frameworks (e.g., UN Global Compact, ESG Data Convergence Project) and regulations (e.g., SFDR).

Our Global Network

Largest Network of Private Company Sustainability Ratings

100000 +
Companies
175 +
Countries
200 +
Industries

We Are Proud to Partner With World-Class, Industry Leaders Including:

Established in 1981, CVC is a world leader in private equity and credit with $117.8 billion of assets under management, $161.9 billion of funds committed and a global network of 24 local offices.

At CVC we drive ESG integration as part of our value creation plans. It is not a trade-off to profitability; as a responsible investor, we see it as a key enabler of long-term sustainable value creation for our companies and for our investors.

Jean-Rémy Roussel Managing Partner, CVC Capital Partners

The ING Group is a Dutch multinational banking and financial services corporation headquartered in Amsterdam. Its primary businesses are retail banking, direct banking, commercial banking, investment banking, wholesale banking, private banking, asset management, and insurance services.

Rewarding sustainability improvement is our aim and the key message in our new sustainability campaign. We encourage clients across all sectors to improve their sustainability performance and we offer them incentives to do so. Companies can benefit from a sustainability rating and now an improved rating can result in lower cost of funding.

Dr. Roland Mees Director ING Sustainable Finance

Bain & Company is a global consultancy that helps the world’s most ambitious change-makers define the future. Since their founding in 1973, they have grown to over 58 offices in 37 countries.

We've done the assessment eight times, and we initially started it because of a client request. The EcoVadis assessment is a useful tool to guide us in our sustainability journey. We found the questionnaire really self-explanatory

Clare Tovey Sustainability & Corporate Responsibility Practice Manager

Astorg Partners was founded in 1998 and is a global private equity firm with over €12 billion of assets under management, headquartered in Luxembourg. Other offices are located in London, Paris, New York, Milan and Frankfurt.

Our ESG programme is based on our firm belief that sustainable business brings higher returns and is key if we want to meet future sustainability challenges successfully.

Viviana Occhionorelli ESG Director

Industry Insights

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