BNY Mellon has partnered up with Sustainalytics to introduce environmental, social and governance (ESG) advisory services for its depository receipts clients.
With the help of Sustainalytics, an Amsterdam-based ESG research and analytics firm, BNY Mellon will be the first depository bank to offer ESG advice and insight to its depository receipts clients.
The move comes as a response to growing consideration of implications of ESG factors in the industry. The UN-backed Principles for Responsible Investing initiative now has 1,300 signatories, a 19 percent increase on last year. Signatories represent more than $45 trillion in assets under management.
To support this growing interest, BNY Mellon’s depository receipts business will give clients access to Sustainalytics’s ESG research and ratings, as well as access to in-house industry analysts who can offer deeper insight on the issues.
Christopher Kearns, CEO of BNY Mellon's depositary receipts business, said: "More investors are evaluating corporate ESG practices and performance as part of their decision-making process. Through Sustainalytics, we can create an important link to help global firms gain insight into the approaches of investors and asset owners."
He added: "This new offering signals the next phase of BNY Mellon's unmatched depository receipts advisory service, enabling us to help clients better understand the needs of investors and develop strategies around enhanced corporate disclosure. We want to keep firms at the forefront of these trends."
CEO of Sustainalytics Michael Jantzi said: "Companies working with BNY Mellon will benefit from a deeper understanding of how investors view their sustainability practices and how they can improve upon them to attract new investments."
