The NEC metric Guides your sustainable investment ESG strategies

whether you are an asset owner, asset manager, work in private equity or in any other financial institution, the NEC metric is your environmental compass, no matter where you are.

1. Implement smart ESG investment strategies

To what end?

During the pre-investment phase or due diligence, the NEC metric  gives investors a clear picture of the total impact of a product, service, company or even an entire sector. It is used to:

  • Assist investors in identifying investment opportunities that are aligned with the ecological transition, and that present transition opportunities;
  • Identify the business models that are damaging to natural capital and exposed to transition risks;
  • Identify less impactful activities, thereby enabling investors to harness growth from transition opportunities.

Case studies

2. Build index solutions

To what end?

Our methodology can be used to develop holistic or sector-specific sustainable investment strategies. It supports:

  • Index providers who are willing to build environment-driven indexes or to develop an environmental filter for existing indexes;
  • Structured finance teams that are willing to develop environmental indexes, derivative products or integrate environmental criteria into their strategies.

Case study

3. Engage and support

To what end?

Engaging in a dialogue with investors regarding the environmental performance of their business activities:

  • Apprehend the environmental impacts of all of a company’s activities;
  • Analyse the environmental consequences of strategic decisions;
  • Define objectives via a common dialogue and promote best practices.

Case study

4. Demonstrate compliance and achieve certification

To what end?

The NEC metric supports investors’ efforts to achieve and demonstrate compliance with soft and hard laws:

  • SFDR (Sustainable Finance Disclosure Regulation) : Article 8 and 9 definition of sustainable investment;
  • Article 29 LEC French Energy Transition for Green Growth Law;
  • Complementarity with Taxonomy alignment;
  • TCFD recommendation on transition risk;
  • TNFD <NEC is member of TNFD forum and Data Catalyst group>;
  • PRI reporting scheme.

The NEC metric also provides invaluable support for green certification.

Case studies

5. Gain in reporting clarity and transparency

To what end?

The NEC is a powerful reporting tool that offers excellent transparency and an easy-to-understand single figure representing the sustainability of a financial product:

  • Build and highlight environmental strategies;
  • Report to clients regularly and easily on the E-results of their ESG strategy.

Case studies

How do you get access
To NEC scores?

  • Get trained to the use of the methodology and calculate yourself the totality of the NEC scores you need.
  • Have an expert calculate the scores you need.