Moody’s Integrates ESG into Credit Scores for Consumer Products, Financial Institutions Sectors
Credit ratings, research, and risk analysis provider Moody’s Investors Service announced today that it has expanded its ESGEnvironmental, social, and governance (ESG) criteria are a set of standards for a company’s operations that socially conscious investors use to screen potential investments. profile and credit impact scores to several new industries and sectors, including consumer products, beverages, shipping, manufacturing, aerospace & defense, financial institutions, large US counties and European public sector housing.
Moody’s will now integrate ESGEnvironmental, social, and governance (ESG) criteria are a set of standards for a company’s operations that socially conscious investors use to screen potential investments. considerations into the credit analysis of companies and organizations in these sectors, including each entity’s risk exposure and the degree of credit impact. The reports include two types of ESGEnvironmental, social, and governance (ESG) criteria are a set of standards for a company’s operations that socially conscious investors use to screen potential investments. scores, including issuer profile scores (IPS) and credit impact scores (CIS). IPS scores measure issuer’s exposure to ESGEnvironmental, social, and governance (ESG) criteria are a set of standards for a company’s operations that socially conscious investors use to screen potential investments. considerations that could be material to credit risk, while CIS gauges the impact those ESGEnvironmental, social, and governance (ESG) criteria are a set of standards for a company’s operations that socially conscious investors use to screen potential investments. considerations have on an issuer’s credit rating.
Moody’s initially launched IPS and CIS scores in January 2021, initially focusing on sovereign issuers, and has expanded its coverage over the past year, adding sectors ranging from healthcare, airlines, utilities, media and automakers to states, cities and counties. More sector introductions are expected throughout 2022.
Brian Cahill, Managing Director of ESGEnvironmental, social, and governance (ESG) criteria are a set of standards for a company’s operations that socially conscious investors use to screen potential investments. at Moody’s Investors Service, said:
“Market participants are increasingly focusing on ESGEnvironmental, social, and governance (ESG) criteria are a set of standards for a company’s operations that socially conscious investors use to screen potential investments. issues and their potential to affect credit risk and investment decisions. Our ESGEnvironmental, social, and governance (ESG) criteria are a set of standards for a company’s operations that socially conscious investors use to screen potential investments. Issuer Profile Scores and Credit Impact Scores provide a transparent, consistent and quantified assessment of how ESGEnvironmental, social, and governance (ESG) criteria are a set of standards for a company’s operations that socially conscious investors use to screen potential investments. impacts our credit analysis.”
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