Institutional investors can factor their views on climate risk into proxy voting decisions with a new service from U.S. proxy advisory firm Institutional Shareholder Services Inc. (ISS).
“Many of our institutional investor clients have expressed interest in having more climate-related information on the companies they invest in, and in particular many want to have more climate-related information that can be directly reflected in their own proprietary voting policies, with the flexibility to customize from a selection of signal indicators,” said Georgina Marshall, global head of research at ISS.
The service, which will be available for approximately 3,400 companies globally in the upcoming proxy season, uses data and analytics from ISS’s responsible investment division, ISS ESG.
It includes climate disclosure indicators, and current and future climate performance signals, among other metrics.
“By leveraging the rich data and expertise of ISS ESG, the custom climate voting service will enable investors who wish to do so to apply a climate-focused lens to help inform their voting decisions,” Marshall said.