International exchange organization Deutsche Börse announced today the launch of its ESG visibility Hub, an information service that enables issuers of the Frankfurt Stock Exchange to publish their ESG data on the exchange’s website, in a bid to increase transparency for investors, and enable further integration of ESG factors into investment decisions.
In addition to existing company data, investors and interested market participants can now access information on individual sustainability aspects on the Börse Frankfurt website. Among other information, issuers will be able to provide ESG ratings, key figures, and sustainability reports. According to Deutsche Börse, the launch of the hub comes as investors increasingly expect transparency from companies on sustainability. The information provided in the service can also be used by ESG rating providers when calculating ESG scores and ratings.
Deutsche Börse added that the platform also aims increase investor visibility into small and medium-sized companies. The exchange organization is offering the ESG KPI Report, a new and specially developed format with an accompanying best practice guide, targeting smaller companies that have not previously reported on sustainability, in order to enable them to disclose their activities efficiently and comparably. The KPIS used are based on recognized reporting standards, including the Global Reporting Initiative (GRI), SASB and the German Sustainability Code (DNK).
Eric Leupold, Head of Cash Market at Deutsche Börse, said:
“More and more professional and private investors are including environmental, social, and ethical aspects in their investment decisions alongside traditional criteria such as profitability, growth and security. With our new offering, we want to give issuers the opportunity to disclose their ESG activities and thus ensure more transparency for investors.”