Showing 1 - 10 of 298 entries
Press ReleaseMSCI ESG Research makes MSCI ESG Ratings of over 2,800 companies publicly available
Research PaperHuman capital risks in a changing world
In a changing world, companies’ ability to recruit, retain, develop and engage their workers is more central to value creation than ever. Productivity and innovation capacity — and thus competitive position — depend on it. Through a wide-ranging literature review, we identified key measurable factors driving companies’ exposure to human capital risks. Competition for highly skilled talent and labor-intensive operations are the two key drivers; we identified seven others that potentially...
Research PaperWomen on boards: 2019 progress report
Our annual update on women’s representation on corporate boards found a noticeable uptick in 2019: 20.0% of directors were women, up from 17.9% in 2018 and 17.3% in 2017. At the current pace, a 50/50 gender split among global directors might be reached by 2044. We have added other areas of interest including market- and sector-specific corporate gender diversity issues, expertise comparison and an overview of regulatory frameworks around gender diversity.
Research PaperClimate risk in private real estate portfolios: What’s the exposure?
As a long-term asset class, private real estate is especially vulnerable to climate-related events, such as water stress, hurricanes and flooding. The impact for investors could range from increased operational costs (e.g., damage to the property, repair costs) to the potential for higher insurance costs, property devaluation and in some extreme cases, the complete loss of the property. We analyzed physical risks in five real estate markets in different regions (Australia, South Africa, the...
Press ReleaseMSCI Completes Acquisition of Carbon Delta
Research PaperBanking on ESG: Examining the financial relevance of ESG to banks
Recent studies by MSCI ESG Research have shown an historical link between environmental, social and governance (ESG) factors and stronger corporate financial performance. However, investors may question whether the relationship between ESG and stronger financial characteristics also applied to banks. For spread businesses such as banks, profitability, returns and valuation are typically driven by balance-sheet strength, rather than by the transmission channels such as operational efficiency...
Research PaperTCFD-based reporting: A practical guide for institutional investors
This guide aims to support institutional investors who intend to follow the Task Force on Climate-related Financial Disclosures’ recommendations for reporting on their climate-related risk management processes. Climate-related risks pose a potential threat to the long-term resilience of portfolios, and there is a growing regulatory focus on investors’ climate risk management practices and disclosures. Approaches for developing a climate change strategy depend on the investor’s objectives,...
Research PaperClearing the Smoke Around Cannabis
Exposure to companies with ties to the cannabis industry raises challenges for investors. Some have sought to keep their portfolios cannabis-free while others have focused on long-term risks and opportunities. How can investors approach this challenge?
Research PaperClimate change and climate risk: An index perspective
A transition to a low-carbon economy could reduce demand for carbon-intensive products and services in favor of low-/zero-carbon counterparts. This migration in demand could also alter the risk-return profile — not only of individual companies but of some entire industries. The MSCI Climate Change Index aims to reflect these potential changes, increasing the index weight of companies identified as exposed to a low-carbon transition, while decreasing the weight in companies negatively exposed...
Research PaperFactor allocation to asset allocation
Asset-allocation approaches have evolved from the traditional 60/40 split to the recent adoption of risk, rather than capital, budgeting across asset classes. However, asset-class buckets are not always clear-cut risk and return drivers. We present a factor-based asset-allocation framework to help investors who have begun to look through asset classes to factors — the underlying drivers of risk and returns.