Covalence provides investors and asset managers with Environment, Social, and Governance ratings, ESG news monitoring, portfolio advisory, and impact stories, supporting sustainable and responsible investment, ESG investing and impact investing strategies.
Thanks to its multi-source, AI-powered scoring system Covalence rates more than 6000 companies on their ESG practices. For investment managers, we also offer data on sectoral exclusions (controversial weapons, tobacco, etc.).
Our ESG ratings can be used for risk management, investment management, positive and negative screening, ESG integration, and thematic investment.
This data is available in monthly-updated ESG ratings as well as in various other formats.
Relying on strong in-house expertise we monitor ESG news on a continuous basis, both positive news (illustrating companies’ sustainability credentials) and negative news (reflecting controversies and the issues they are facing). The data informs on ESG practices (GRI-inspired criteria), impact (SDGs) and materiality (SASB), providing signals relevant to quant trading and equity factor investing.
The news feed is available on our interactive data visualization platform. Data feeds can also be delivered via FTP, email or API in various formats (.xlsx, csv, json). Finally, users can receive email alerts to be informed of breaking news and recent developments.
Our ESG news monitoring process relies on an in-house web scraper and crawler, on automated extraction techniques, on an algorithm and database, machine learning, sentiment analysis, Natural Language Processing (NLP), as well as on human analysis.
Today, the Covalence database includes more than one million documents from over 50’000 different sources on 6000 companies that have been classified and curated by more than 600 analysts in collaboration with over 30 universities.
Relying on 20 years of experience in sustainability analysis and on a robust ESG scoring system, we design meaningful investment products in terms of markets, geographies, themes, scope, ESG approaches (positive and negative screening, integration, engagement), and rating philosophies (best-in-universe, best-in-class, best effort).
We assist asset owners and asset managers with portfolio construction, product development, mission-aligned investments, and more broadly, investment strategy-setting.
For example, together with the PeaceNexus Foundation, we have developed the Peacebuilding Business Index used to define the investment universe of the Cadmos – Peace Investment Fund. This global equity fund with a portfolio of 30-40 listed multinational companies is the first investment fund focusing on Sustainable Development Goal 16 – Peace, Justice and Strong Institutions.
So far the Peacebuilding Business Index has triggered interest from organisations such as the UN Global Compact, World Economic Forum, Peace News Network, Strategic Foresight Group, Oxfam Novib and SOMO, The Graduate Institute, and SwissFoundations.
More information on the Cadmos – Peace Investment Fund:
Investors in sustainable and responsible strategies want to know what investee companies are doing for society and for the environment, how they contribute to achieving the Sustainable Development Goals. They want stories of positive impact and examples of good practice to be assured that their investment is making a difference. They don’t want to suspect greenwashing.
For investment managers, Covalence documents portfolios with impact stories, supporting their investment decisions as well as their marketing, SDG reporting and engagement efforts.
If you would like to reinforce the storytelling of your sustainable and responsible investment strategies, we can help by carefully selecting impact stories and positive examples of corporate actions.
Relying on 20 years of experience in sustainability analysis and on a robust ESG news monitoring tool, our team screens large quantities of information, selects the most relevant and performs editorial work to highlight the best impact stories.
“Comment investir dans des valeurs suisses respectant les préceptes du développement durable tout en gagnant de l’argent? La société genevoise Vandaalen & Cie s’est associée à Covalence pour proposer un produit très réactif.” Source: Bilan.
“PeaceNexus commissioned an ambitious methodology to benchmark company contributions to peacebuilding. Together with Covalence SA, the Peacebuilding Business Criteria (PBBC) and mainstream ESG factors were used to assess 300 companies with the largest economic impact in fragile states.” Source: PeaceNexus.
Les Objectifs de développement durable (ODD) constituent un ambitieux plan d’action pour la communauté internationale. Une nouveauté par rapport aux précédents Objectifs du Millénaire est l’importance accordée au rôle du secteur privé. Source: Covalence / Le Temps.