Helps Banks Fulfill the Complex Disclosure Requirements of the European Banking Authority (EBA)
LONDON (October 4, 2023) – ISS ESG, the sustainable investment arm of Institutional Shareholder Services, today launched its EBA Pillar 3 ESG Solution for banks, a client segment it is increasingly serving with an expanding, relevant solution suite. The new solution leverages ISS ESG’s robust climate and regulatory solutions to provide a comprehensive set of datapoints that help European Union (EU) banks meet the disclosure requirements of EBA Pillar 3 in an easily accessible and, if needed, customizable way. ISS ESG will deliver the new solution through a variety of channels to suit clients’ needs including through its proprietary platform DataDesk, data feeds, API, Cloud, as well as via certain third-party platforms.
By way of background, in January 2022, the EBA published its final report on the binding standards on ESG risks for Pillar 3 disclosures, comprising quantitative, comparable templates for ESG-related disclosures by European Banks, as well as three tables of qualitative ESG disclosures. The required disclosures cover how climate change may intensify ESG risks within institutions’ balance sheets, how institutions are mitigating those risks and embedding sustainability considerations in their risk management, business models and strategy as well as their pathway towards the Paris Agreement goals.
The EBA’s reporting framework features a set of 10 quantitative templates requiring banks to disclose climate-related risks, activities to mitigate those risks, their exposure to green assets as well as information on sustainability risk management. The ISS ESG EBA Pillar 3 ESG Solution includes preset screens for the template requirements. Its comprehensive dataset offers 275 factors, including climate, EU Taxonomy, and Sustainable Development Goal (SDG) datasets. Bespoke solutions covering companies outside the standard ISS ESG universe are also available depending on client needs.
“Banks face a tight implementation schedule of deadlines in 2023 and 2024, amongst other challenges, to meet the regulatory requirements set out by the EBA standard,” said Till Jung, Head of ISS ESG. “ISS ESG has applied its wealth of experience in measuring physical and transition-related climate risks, EU Taxonomy alignment, and much more, to develop a specialized dataset designed to streamline banks’ EBA Pillar 3 ESG reporting.”
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About ISS ESG
ISS ESG solutions enable investors to develop and integrate sustainable investing policies and practices, engage on responsible investment issues, and monitor portfolio company practices through screening solutions. ISS ESG also provides climate data, analytics, and advisory services to help financial market participants understand, measure, and act on climate-related risks across all asset classes. In addition, ESG solutions cover corporate and country ESG research and ratings enabling its clients to identify material social and environmental risks and opportunities. For more information, please visit us at: www.iss-esg.com
Media Contact:
Sarah Ball, Executive Director
+44-203-192-5728
sarah.ball@issgovernance.com
ISS ESG Launches EBA Pillar 3 ESG Solution For Banks
Helps Banks Fulfill the Complex Disclosure Requirements of the European Banking Authority (EBA)
LONDON (October 4, 2023) – ISS ESG, the sustainable investment arm of Institutional Shareholder Services, today launched its EBA Pillar 3 ESG Solution for banks, a client segment it is increasingly serving with an expanding, relevant solution suite. The new solution leverages ISS ESG’s robust climate and regulatory solutions to provide a comprehensive set of datapoints that help European Union (EU) banks meet the disclosure requirements of EBA Pillar 3 in an easily accessible and, if needed, customizable way. ISS ESG will deliver the new solution through a variety of channels to suit clients’ needs including through its proprietary platform DataDesk, data feeds, API, Cloud, as well as via certain third-party platforms.
By way of background, in January 2022, the EBA published its final report on the binding standards on ESG risks for Pillar 3 disclosures, comprising quantitative, comparable templates for ESG-related disclosures by European Banks, as well as three tables of qualitative ESG disclosures. The required disclosures cover how climate change may intensify ESG risks within institutions’ balance sheets, how institutions are mitigating those risks and embedding sustainability considerations in their risk management, business models and strategy as well as their pathway towards the Paris Agreement goals.
The EBA’s reporting framework features a set of 10 quantitative templates requiring banks to disclose climate-related risks, activities to mitigate those risks, their exposure to green assets as well as information on sustainability risk management. The ISS ESG EBA Pillar 3 ESG Solution includes preset screens for the template requirements. Its comprehensive dataset offers 275 factors, including climate, EU Taxonomy, and Sustainable Development Goal (SDG) datasets. Bespoke solutions covering companies outside the standard ISS ESG universe are also available depending on client needs.
“Banks face a tight implementation schedule of deadlines in 2023 and 2024, amongst other challenges, to meet the regulatory requirements set out by the EBA standard,” said Till Jung, Head of ISS ESG. “ISS ESG has applied its wealth of experience in measuring physical and transition-related climate risks, EU Taxonomy alignment, and much more, to develop a specialized dataset designed to streamline banks’ EBA Pillar 3 ESG reporting.”
###
About ISS ESG
ISS ESG solutions enable investors to develop and integrate sustainable investing policies and practices, engage on responsible investment issues, and monitor portfolio company practices through screening solutions. ISS ESG also provides climate data, analytics, and advisory services to help financial market participants understand, measure, and act on climate-related risks across all asset classes. In addition, ESG solutions cover corporate and country ESG research and ratings enabling its clients to identify material social and environmental risks and opportunities. For more information, please visit us at: www.iss-esg.com
Media Contact:
Sarah Ball, Executive Director
+44-203-192-5728
sarah.ball@issgovernance.com
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