Global market infrastructure, data and technology provider Intercontinental Exchange (ICE) announced today the acquisition of climate-focused data and analytics companies risQ and Level 11 Analytics, adding climate risk modeling capabilities and geospatial information-based insights to the company’s alternative data offerings in U.S. fixed income, municipal and mortgage-backed securities markets.

Lynn Martin, President of Fixed Income and Data Services at ICE, said:

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“Understanding and measuring climate risk, and its impact on investment decisions, continues to be a growing area of focus for our customers. risQ and Level 11 Analytics provide unique data sets and platforms, and their strong analytical background and focus on ESG factors, real estate and the mortgage markets, serve as fertile ground for creating innovative products that offer more insights for our customers.”

Founded in 2016, risQ models the complex financial risks posed by climate change for holders of municipal debt. Level 11 Analytics, founded in 2019, utilizes geospatial machine learning technology to deliver transparent economic, demographic, climate and business analytics. The companies integrate their data and map them to financial securities, providing high quality climate risk analytics and investment decision-making tools.

ICE and risQ have worked together since early 2020 to offer U.S. municipal bond investors quantifiable climate risk information through the ICE Climate Risk solution, later integrating social impact scores into the offering, with Level 11 providing much of the underlying geospatial technology and analytics.

Chris Hartshorn, CCO of risQ and co-founder of Level 11 Analytics, said:

“Bridging the gap between environmental risks and financial assets has been a key focus in the evolution of our business and the products that we offer. With its vast amounts of high-quality data and coverage of markets, ICE has been a great partner in launching new alternative forms of data for the fixed income market.”

Evan Kodra, CEO of risQ and co-founder of risQ and Level 11 Analytics, added:

“We’re excited to join the team to find new areas where we can apply our unique data, analytical tools and expertise in integrating disparate data sets to derive value and help customers in evolving markets manage climate risks and measure the social impact of their investments.”