Overview

The Strengthening the S in ESG series, initiated in 2024, is a research series focused on how social indicators and metrics are designed and used within ESG data, reporting frameworks and benchmarks. It examines how companies’ impacts on people are assessed within financial and investment analysis.

Methodology

The series is based on a structured review of indicators used by ESG data providers, reporting requirements and global or regional frameworks. It evaluates how indicators are formulated, what they measure, and how effectively they reflect business practices and decision-making processes.

Purpose

The purpose of the series is to improve the quality and relevance of ESG data on social issues. It aims to support the development of indicators that provide clearer insight into companies’ impacts, governance and risk management practices, enhancing their usefulness in financial analysis.

Relevance for finance professionals

For finance professionals, the series provides a framework to interpret social indicators within ESG analysis. It can be used to assess the reliability of data, support due diligence, and inform investment decision-making where social risks and impacts are material.