ESG: DEFINING THE FUTURE OF SUSTAINABLE FINANCE
THE ROLE OF REGULATION AND DATA IN SHAPING TOMORROW'S GREEN ECONOMY

 

Mounting pressure from governments, regulators, industry, investors and customers has driven ESG to the very top of today’s business agenda.

Having initially focused on the Environmental aspects of ESG, Social and Governance considerations are now also key priorities. Moving forward, alignment and compliance with emerging ESG standards will be a critical differentiator for long-term business success across financial, energy and manufacturing markets globally.

Existing approaches to implementing ESG frameworks and best practices are not harmonized across individual markets and regions, however, whether in terms of agreed definitions or pace of adoption. This has given rise to significant challenges when establishing corporate ESG agendas, which in turn hinders financial institutions’ ability to drive green lending and investing.

We are now seeing increased engagement by regulators to align around a more unified approach to ESG. And if regulation is the driver of change, then data will play a key role in delivering the traceability, transparency and insights to validate the ESG credentials of a company, a stock, or an investment strategy.

Financial institutions will need to embrace high volume data processing, drawing upon machine learning and artificial intelligence and leveraging data analysis and harvesting via smart analytics. The scale and complexity of managing and storing data means cloud technologies may also need to be considered as they look to map an optimal path forward to a future model of sustainable finance.

 

Capco will be presenting a 2021 global webinar series on ESG, sustainable finance and the wider transformation of the financial industry in the coming months. Our initial two sessions will bring together expert panellists, including board level executives, leading academics, and governmental and regulatory advisors, to address two key themes that are driving the evolution of ESG: Regulation and Data. 

Our partner in this webinar series will be renowned international law firm Simmons & Simmons, whose ESG teams in Frankfurt and London will offer perspectives on the key topics, challenges and opportunities. 
7 DECEMBER 2021
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WEBINAR: ESG - CLIMATE RISK IMPLICATIONS FOR SWISS FINANCIAL INSTITUTIONS’ DISCLOSURE AND REPORTING 

ESG is on the rise and firms are committing to  reporting and disclosure practices. To discuss the opportunities and  challenges that result from this, Capco has gathered a panel of leading industry experts from the financial sector. Join the interactive panel and learn more about the impact of environmental governance on businesses in Switzerland. We look forward to welcoming you.

INFORMATION & REGISTRATION

11 NOVEMBER 2021
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EDINBURGH: ESG - ELEVATING YOUR DATA STRATEGY

You are cordially invited to join Capco and the SFE for a breakfast discussion titled ‘ESG: Elevating Your Data Strategy’ on Thursday 11th November at the Glasshouse hotel in Edinburgh.

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24 NOVEMBER 2021
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WEBINAR: DELIVERING A GREENER FUTURE THROUGH BETTER DATA

Following the great success of our first webinar on Defining the Future of Sustainable Finance, we are very pleased to host our next global webinar “Delivering a Greener Future through Better Data” on Wednesday, November 24th, 2021.

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24 JUNE 2021
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WEBINAR: REGULATORY BURDEN OR BUSINESS OPPORTUNITY

In our first webinar we assess the rise of ESG and how global regulation is driving change and harmonisation across geographies. Bringing together an array of expert perspectives, the session offers a lively and thought-provoking exploration of the key issues. 

VIEW SUMMARY & RECORDING

Examples of Capco’ s thought leadership around ESG, covering the macro, regulatory and data elements of sustainability in financial services can be found below. 
16 NOVEMBER 2021
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COP26 – THE STORY CONTINUED FOR THE FINANCIAL SERVICES SECTOR

COP26: Clean energy transition and agricultural transformation will give rise to new funding demands, while a fundamental reassessment of risk management models also looks inevitable. Read our thoughts on the second week of the Conference.
05 NOVEMBER 2021
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COP26 – THE STORY SO FAR – FOR FINANCIAL SERVICES. IS THE SUMMIT ‘TALKING THE TALK’ OR ‘WALKING THE WALK’? 

COP26: Nature-positive finance is the future. How do financial services firms kick-start the move and will their data be up to scratch?
27 OCTOBER  2021
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 THE EU GREEN BOND STANDARD

As the world tries to become greener, the EC’s recent proposal for greenbonds will impact the sustainable bond market. We examine green bond requirements and what this means for external verifiers. 
7 SEPTEMBER 2021
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CLIMATE CONDUCT & FINANCIAL SERVICES: TOMORROW'S MIS-SELLING SCANDAL?

This paper by Capco UK discusses the complex subject of conduct with climate change and how it is arguably one of the widest ranging thematic issues of our time. 
27 AUGUST 2021
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ESG AND THE INSURANCE LANDSCAPE

With the advent of the COVID pandemic, organisations have started to prioritise their ESG strategy and corporate stewardship. Notably, financial services are accelerating their activities in this space, with the stark realities of COVID have come a wider appreciation of macro level risks in general – climate change included – and how these factors can dramatically turn the business tables. For insurers, this includes integrating ESG within the core business and operations, as part of underwriting, investing and risk management decisions, and developing tailored ESG products and services.
13 JULY 2021
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THE FINAL EU SUSTAINABILITY KPIs

Data availability and quality pose major challenges for meaningful sustainability reporting. One important step to achieve the necessary transparency and resolve data quality issues is having a clear and unambiguous definition of environmentally sustainable activities, as done by the EU Taxonomy. Thus, the introduction of key performance indicators (KPIs) is another major step to foster sustainability reporting and facilitate the usage of disclosed information.
29 JUNE 2021
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CLIMATE CHANGE - A LOOMING CHALLENGE FOR THE WORLD, AND NOW THE BANKS

The Taskforce on Climate-Related Financial Disclosures (TCFD) has developed recommendations for more effective climate-related disclosures, subsequently adopted as the de facto standard for reporting climate-related information. Capco has undertaken a high-level review of 33 banks around the world who have committed to producing TCFD-aligned disclosures. This paper assesses each of the banks’ climate-related reporting against six key criteria.

24 june 2021
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APAC AND THE NEW ESG

Tomorrow’s green economy is taking shape, with ESG objectives at the top of the agenda for financial institutions both in APAC and globally. In this paper, Capco Hong Kong’s Brendan Delanty explores the current trends, challenges, and way forward for corporate banks. 
11 mAY 2021
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CSRD: AN INTEGRAL ELEMENT OF THE SUSTAINABLE FINANCE FRAMEWORK

On 21 April 2021, the European Commission adopted a comprehensive package of measures to reorient the flow of funds towards more sustainable investments. An integral element of this sustainable finance package is the Corporate Sustainability Reporting Directive (CSRD) proposal.
11 MAY 2021
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SFDR: IS THE FINANCIAL SERVICES INDUSTRY READY FOR DISCLOSURE?

With the Sustainable Finance Disclosure Regulation (SFDR) and its gradual enforcement from 10 March 2021, the European Commission is implementing the second important building block of the EU Action Plan for Financing Sustainable Growth after the EU Taxonomy – transparency of sustainability.
12 APRIL 2021
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ESG – THE PATH FORWARD

In this video, we explore the issues of transparency and standardization around green investments, and the importance of establishing a common language and formal mechanisms to ensure consistency when detailing and validating ESG criteria.
1 DECEMBER 2020
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ESG – THE PATH FORWARD

ESG is now a central consideration in the construction of investment portfolios. In this video, we visit a biomass plant and discuss the practicalities of adopting an ethical investment approach.
9 OCTOBER 2020
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ESG – THE PATH FORWARD

In this video, we look at the evolution of ESG, its place within the value chain of risk and risk management, the changing profile of the influencers shaping approaches to ESG as well as green investments, including the importance of standardization and transparency in ensuring investors can make informed choices.
19 JUNE 2020
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THE RISE OF ESG

What is the role of a public firm in a free market? Traditionally, the answer would be to maximize value for its shareholders.

This still holds true, but there are now a much broader range of considerations for firms to meet, such as ESG factors, which have developed to a point where they are driving inflection in supply and demand.