Sustainability technology company Clarity AI’s data services have been integrated into SimCorp’s investment management platform, with the goal of helping institutional investors to ensure alignment with EU sustainable finance regulations.
The initiative will also assist SimCorp’s clients to execute their impact investing strategies.
Clarity AI analyses more than 70,000 companies and 420,000 funds across 201 countries and 199 local governments to create its data insights, with this breadth of coverage aiming to reduce reputational and investment risks for institutional investors.
For SFDR and EU Taxonomy regulations, Clarity AI’s services allow clients to streamline their data collection and processing while reducing manual work-related errors. As the United Nations Sustainable Finance Goals (SDGs) become increasingly important for reporting and creating new revenue, SimCorp’s users will gain access to ClarityAI’s SDG dataset and will be able to customise scores based on intended sustainability outcomes.
Commenting on the partnership, David Silver, head of solutions at Clarity AI, says: “[Through our partnership, we will] expand the use of reliable, accurate data to meet regulatory requirements and drive more capital into sustainable finance without adding unnecessary complexity.”
Our approach is comprehensive, providing the required data, methodologies, and tools to comply with all regulatory requirements. Through the use of AI-powered reliability checks, trained and supervised by a global team of data science and sustainability experts, we ensure our data is of the highest quality and consistent throughout all areas of sustainability.”
Carl Balslev Clausen, director and head of ESG product management at SimCorp, states: “With [this integration], our mutual clients benefit from advanced process automation, rigorous control checks of their sustainability-related policies, and access to ESG analytics.
"Institutional investors are increasingly prioritising their ability to accurately measure and oversee the societal effects of their investments. Aligning with the SDGs has now become an established norm within the industry. This integration offers SimCorp clients access to top-quality data, further enhancing their investment decisions.”
