ESG solutions

ESG solutions

In recent years, there has been an increasing focus on responsible and sustainable business practices. Environmental, Social and Governance (ESG) standards are essential elements of corporate management. Their application in investment decisions can have a positive impact on society.



Deutsche Börse ESG Visibility Hub

Every day, critical decisions are made by businesses and governments around the world which have a direct impact on their stakeholders.

These decisions are rarely based on financial information alone, rather they are based on an assessment of risk and opportunity using information on a wide variety of immediate and future issues – In recent years ESG data has become a critical component of such non-financial information.

Concretely, the comprehensive disclosure and effective management of ESG data by businesses can be facilitate the following:

Capital Attraction

  • Investors are increasingly demanding greater transparency from businesses on ESG-related data and risks
  • A high level of disclosure and reporting enables investors and capital markets to incorporate ESG-related data and risks into their investment decisions and better align capital with sustainable practices to make a positive impact

Regulatory Compliance

  • National and international regulatory authorities are increasingly implementing mandatory reporting directives to oblige businesses to disclose data on their ESG performance. (E.g. EU NFRD & CSRD directives)
  • Though initially more focused to large corporates, the scope of such legislation is expected to broaden over time, therefore organizations should already act today to ensure business readiness

Corporate Sustainability Performance

  • ESG performance improvements and reports demonstrate how a company mitigates risks and generates sustainable long-term financial returns
  • By implementing an ESG reporting concept into their organization, businesses can gain a greater understanding of risks and opportunities that they are facing

Corporate Reputation

  • ESG reporting is a key part of communicating sustainability performance and impacts, and enables trust to be created in businesses
  • Disclosure and effective management acts as meaningful signal to the external world of a company’s commitment to sustainable business practices
 

Creating trust by transparency

With the ESG Visibility Hub we support the transformation to a sustainable environment and accompany #ListedinFrankfurt companies on their ESG journey.

At a glance: ESG-Reports, Ratings und Research

If companies want to successfully attract investors, their own ESG strategy plays an essential role. Deutsche Börse Cash Market picks up on this megatrend in the capital markets and gives issuers the opportunity to market their ESG efforts transparently and bundled in the ESG Visibility Hub. This enables companies that have already established sustainability reporting to extend their reach to investors.

Advantages for issuers

  • Embedded in one of the largest financial portals in Germany - Börse Frankfurt
  • Broaden and diversify the investor base 
  • Basis for decision-making for stakeholders


ESG-KPI-Report: Resource-efficient entry into sustainability reporting

While the reporting of non-financial disclosures is relatively widespread among large public companies, the practice is limited among small- and mid-size companies.

For SMEs a lack of resources, both financially and employee-wise, can pose significant barriers to reporting sustainability-related information. Furthermore, for many SMEs there is a lack of clarity as to what specific ESG data points are material for disclosure.

Deutsche Börse and ISS ESG, the responsible investment arm of Institutional Shareholder Services Inc. (ISS)*, have therefore developed an ESG KPI Report to help SMEs in particular get started with ESG reporting by providing guidelines and best practice examples. Companies that already publish sustainability reports can upload the ESG-KPI-Report in addition to their existing ESG data in the ESG Visibility Hub.

Interested issuers can request more information and access to the ESG Visibility Hub at issuerservices@deutsche-boerse.com

The SFB1 and ISS ESG have compiled a list of KPIs as a common set of basic ESG indicators, aimed as a first step for issuers as they begin providing non-financial disclosures. These KPIs are comprising 17 different metrics across environmental, social and governance themes. The reporting of these KPIs will facilitate both reporting and implementation of sustainability in companies and allow them to be more transparent and accountable to all stakeholder groups.


*ICS, which is a wholly-owned subsidiary of ISS, provides compensation, governance, and sustainability tools and advisory services to help companies improve shareholder value and reduce risk.  The teams which produce ISS’ research and analytical offerings operate separately from ICS and ISS will not provide preferential treatment to, and is under no obligation to provide a favorable rating, assessment or any other favorable result to any corporate issuer (whether or not that issuer has purchased products or services from ICS).

 

Analyse and compare

Knowledge of the ESG criteria relevant to its industry allows a company to identify and improve its opportunities towards investors. The Sustainability Suite of ISS Corporate Solutions (ICS) enables you to analyse your ESG commitment and compare it with that of your competitors. Potential for improvement is thus identified and can serve as the basis for targeted measures to make your company more appealing to investors.


Your benefits of ICS Sustainability Solutions at a glance:

  1. Understand how investors evaluate and perceive ESG-relevant business activities.
  2. Attract ESG-focused investors and thereby increase the liquidity of your stock. 
  3. Analyse your company’s performance against competitors.
  4. Model how changes in your ESG practices can affect your position against industry peers and your score.
  5. Increase your knowledge of industry-specific ESG criteria and conduct customized analyses of your peers.

Volume Discovery Order

We connect you to experts from ISS Corporate Solutions who can help companies design, manage, and measure a robust sustainability program.

ISS Corporate Solutions also offers research, analysis and consulting on corporate governance and executive compensation. Find out more about ISS Corporate Solutions’ product offering.

 

You have questions on ESG or the services of ISS Corporate Solutions? Please feel free to contact us: 

 

Issuer App

Stock Report

As an issuer in the Prime Standard, General Standard or Scale, every month you will receive by email your personal Stock Report – which presents in vivid graphic form the current trading data on your shares. As an issuer you can put together a peer group of three companies listed on the FWB®.

You would like to receive the stock report?
Contact: stockreport@deutsche-boerse.com

Web-Service: Open Xetra order book

Integrated in the IR section of a company’s Website (through an individualised link) the order book dynamically displays the ten best bid and ask offers for the company’s own share (with a 15-minute delay).


Web-Service: Integration in price chart

Companies listed on Deutsche Börse have access to a special investor relations tool, enabling you to use a link to integrate the price chart of your share into your Website free of charge. Please note that we do not offer individualised charts.


Indices

Indices group various securities according to defined criteria, such as the market capitalisation of the respective company and exchange turnover in the security, membership of a market or sector – and track how these groups then perform in the capital markets. The indices thus enable comparison between the trend for a particular security and the performance of the relevant reference group. As such, companies are charted within their peer group, enabling investors to make more targeted investment decisions. Deusche Börse offers an innovative selection of indices and index solutions. Deutsche Börse AG makes the decisions regarding the calculation and compilation of equity indices together with the Working Committee for Equity Indices. Learn more about our indices.

We would gladly support you in person for your Investor Relations activities.

Issuer Services

Phone +49-(0) 69-211-118 80
Mail issuerservices@deutsche-boerse.com