Investing in the Age of AI
Product UpdatesArticles

Deep dive into SFDR: View calculations at security-level, including equity, fixed income and funds

Published: July 1, 2022
Modified: July 1, 2022
Key Takeaways

Portfolio reporting through Principal Adverse Impacts analysis

Having access to a portfolio report by Principal Adverse Impacts (PAIs) and a company-level PAI analysis are very useful features to comply with the current SFDR reporting requirements. This gives you access to either the performance of the portfolio as a whole (“By PAI” table) or to a single analysis at organization level (“Custom by Org” table), whether that’s a company or a country.

However,  you can now analyze more complex portfolios, made of several security types, through a security-level view. This will allow you to check the performance of a particular security against a specific PAI. 

As an example, let’s take a portfolio composed of three funds, with 50 organizations each. With the “Custom by Org” table, you can see all organizations unfolded, with each individual score at an organization level. From now on,  you are able to see how each security is performing. In other words, how each fund is performing against each PAI.

This is possible through the new feature “Custom by Security” table, available in our SFDR solution, which allows you to individually analyze your equity, fixed income and fund assets. This results in a more informed decision-making process for portfolio construction, through even more transparent and granular data.

Research and Insights

Latest news and articles

Climate

Top-down, bottom-up, disclosure: building a physical climate risk view that holds up

Climate risk management is becoming a fiduciary duty. In 2020, the Australian pension fund REST settled a landmark case with member Mark McVeigh, committing to new disclosure processes and acknowledging that climate change is a material financial risk to its investments. But disclosure alone is no longer enough. Clients are paying attention to what the…

Climate

Data-Center Power Has Quadrupled. Big Tech’s Reported Scope 2 Has Done the Opposite

Data center power demand has quadrupled due to the artificial intelligence boom, but Big Tech’s reported carbon footprints are doing the opposite. Global carbon accounting rules are at the core of this inconsistency: under current greenhouse gas global (GHG) reporting standards, companies can report their electricity-related emissions (i.e., scope 2) using different accounting rules: Companies…

Market Insights

Geopolitical Risk and Portfolio Decisions: How Investors Are Adapting Policies, Exclusions, and Oversight

Geopolitical risk is currently reshaping how investors think about exclusions, investment policy, and portfolio oversight. At the same time, it is rewriting the macroeconomic playbook that long-term capital owners have relied on for decades. Trade fragmentation, shifting alliances, and a more interventionist policy environment are forcing investors to reconcile top-down macro views with bottom-up portfolio…