ESG Focus-ESG 100: A Sophisticated Scorecard
Edelweiss has launched their latest report on the which consists of proprietary Edelweiss ESG Scorecard and the Ratings for India’s top 100 companies.
As ESG gets more real in India and the investing world, we believe the time is ripe to move beyond ‘plain vanilla’ ESG scores that are based primarily on disclosures, tick-box inputs and more accounting than ‘business value’ driven.
They report talks about the stocks that lead and lag on E, S and G individually. This scorecard can act as a useful tool for investors. The unique thing about this is that it allows a lot of flexibility in the ‘weightages’ that they assign to various parameters.
Investors can seek to play around with these weights, based on their own judgement.
The report is a must-read as they have covered the top 100 Indian companies (aligned to NSE 100), spanning across 15 sectors with scorecards and ratings for every company. This has allowed them to map out comparisons across various sectors and companies within sectors.
We believe that the actionability quotient of ratings is relatively high for investors, given that we have assessed companies relative to not only their peers, but NSE 100 as a whole as well.
The report clearly mentions about their Scorecard design and how to interpret the scores. They also mention the pillars of their methodology and the fine data which makes this scorecard a useful investing tool.
To read the entire report, click here: https://www.edelweissresearch.com/Research/Download/11082
