Eurex Clearing expands its ESG Compass to cover Cash Market and Repo Transactions
Eurex Clearing further enhances its ESG Clearing Compass offerings, initially launched in April 2023.
As of 11 December 2024, Eurex Clearing will introduce the possibility to analyze equity and bond positions. These new enhancements are in response to market participants’ needs. Eurex Clearing aims to promote transparency, which is critical for decisions like portfolio decarbonization or integrating ESG factors into counterparty assessments.
The ESG Clearing Compass offering focusses on two services: the ESG Portfolio Assessment and the ESG Visibility Hub. These services support clearing members and their clients in their sustainability journey by enhancing transparency and awareness regarding their cleared portfolios and counterparties. In August 2024, the service was expanded to include climate metrics for eligible securities in a report available on the Eurex Clearing website.
With the further enhancements the ESG Portfolio Assessment will be extended to include assessments of Transactions at Frankfurt Stock Exchange (excluding ETFs) and Eurex Repo, provided in a new report called Daily Position Sustainability Metrics. This report will include climate metrics, where applicable, at the portfolio level. The new service will be available to all Clearing Members and individually segregated clients.
The climate and rating data in the reports are provided by ISS ESG, whose methodologies guide the aggregation of emissions and carbon data.
ABN AMRO Clearing Bank N.V., Société Générale and Commerzbank AG have been involved as partners in driving innovative industry solutions.