Deep analytical insight
In 2019, Man Group launched Man Group ESG Analytics, a proprietary, dashboard-style tool enabling the firm’s investment teams to monitor certain non-financial risks and analyze ESG factors across single issuers, portfolios and indices. The tool also features stewardship data, offering a real-time overview of a portfolio’s proxy voting performance and statistics.
Man Group ESG Analytics was developed internally under the direction of their Responsible Investment team, with close collaboration between Man Numeric (the firm’s fundamentally-driven, quantitative investment engine) and Man Group’s risk and performance analysis team and stewardship team. The tool is available to all portfolio management teams across their investment engines and can be applied across asset classes as well as to both traditional and alternative investment strategies. They also provide their ESG analytics platform for clients seeking enhanced reporting and portfolio analysis across internally-managed investment strategies as well as for external investment funds that are part of their fund of funds platform.
The dashboard embeds a proprietary ESG scoring system derived from Man Numeric’s data research. The system applies advanced data science and quantitative analysis to disaggregate multi-vendor ESG datasets, allowing the tool to generate a holistic score for the sustainability profile and impact of a business. Datasets from three leading ESG data providers – Sustainalytics (ESG scoring and controversies data), MSCI (ESG scoring), and Trucost (environmental data) – are also integrated into the platform, allowing portfolio managers to evaluate a wide variety of company-specific ESG metrics. The dashboard provides investment teams with the ability to drill-down into this data at a company, portfolio and index level to further enhance analysis, making it easier to identify potential ESG risks. A built-in alert function with the ability to set limits on changes in individual or benchmark scores also allows portfolio managers to closely monitor and track movements. Finally, the dashboard displays voting activity, reinforcing fund-level engagement and active ownership by Man Group’s investment teams.
Harnessing the power of technology
In 2019 Man Group's emphasis on the value of technology was recognized at the Environmental Finance’s Sustainable Investment Awards as joint winner of ESG Initiative of the Year. The judges indicating, they had been impressed by ‘the innovative use of technology to inform a wide audience’. The ‘Perspectives Towards a Sustainable Future’ initiative had launched a series of podcasts in 2018 to explore all facets of sustainability – from climate change to human rights. They were the brainchild of Jason Mitchell, co-head of responsible investment, who is the producer and host. Typically, 25 to 35 minutes in duration, the podcasts aim to demonstrate why and how investors – from the individual saver to the largest pension, sovereign and endowment funds – are influencing environmental and socio-political policymaking.
The podcasts feature profiles of leading organizations and individuals and are intended as an educational resource for anyone from institutional investors and policymakers, to journalists and students. They can be found on iTunes, Soundcloud, PodBean, Spotify, Google Play and the Man Group website. In addition, the podcast series is distributed by the CFA UK, as well as the Securities Traders Association (STA) and the Managed Funds Association in the US. Indeed, the episode with Mary Robinsion, former President of Ireland and UN High Commission for Human Rights, is included in the Mary Robinson Archives at the National University of Ireland Galway. Students are of particular interest and each interview ends with advice to the younger generation.
