FRC Lab calls for participants for the second phase of its project on ESG Data
14 Oct, 2022
The Financial Reporting Council’s (FRC’s) Financial Reporting Lab (the Lab) is inviting data aggregators and providers, Fintech and RegTech firms, rating agencies, investors, other users of ESG data, and other interested parties to participate in the next phase of its project looking at how companies produce Environmental Social and Governance (ESG) data.
Investors and other stakeholders are increasingly interested in disclosures on the environmental and social impact of companies’ activities and their governance arrangements.
The first phase of the project focussed on the production, distribution and consumption of ESG data. This next phase of the project will look at the distribution and consumption of ESG data.
The scope of this phase will be determined in conjunction with participants but the Lab expects it to cover:
- How data providers access and collect ESG data from companies and other sources.
- How data providers process company data and, where relevant, generate estimates to create new data sets.
- How Fintech and RegTech firms are using third party data to build new tools and services.
- The sources of ESG data that investors use.
- Identification of barriers to data flow and views on how it can be optimised.
- Useful formats for data communication.
- What disclosures on data processes are decision-useful.
- How investors and others are using ESG data for decision-making.
Further information including the press release and the call for participants is available on the FRC website.
