Environmental, Social and Governance

Environmental, Social and Governance

Environmental, social and governance (ESG) is one of – if not the – most important topics of our time.

It is not only the right thing to focus on; it makes perfect business sense. ESG performance correlates highly with stock performance and a lower cost of capital, research suggests.

For global trade, supply chains reaching around the world make it an inherently complex business. Multiple stakeholders in different jurisdictions make it difficult to accurately assess the ESG risks of a good, service and, therefore, trade transaction.

We believe technology is the way forward for robust and accurate ESG risk reporting for companies. For this reason, we are forging innovative partnerships and solutions to track our customers’ ESG performance as well as our own.

Scoring ESG for Trade

In the medium term, banks will be required to report on ESG risk across their portfolios. With no agreed standard for this reporting, there is growing risk of cost escalation and ‘greenwashing’.

While the financial services sector currently relies on self-reporting for climate-related information, banks will increasingly be required to conduct business based on clients’ sustainability profiles by monitoring and assessing their ESG performance.

To better measure impact across global trade, we’ve launched an integrated solution for ESG scoring with Coriolis Technologies, a leading trade data provider.

Sustainable Development Goals
Sustainable Finance Disclosure Regulations
EU Taxonomy Regulations

Key features:

In the News:

ESG scoring

Technology companies TradeSun and Coriolis Technologies have formed a new partnership to allow banks to measure ESG performance across transactions in global trade… Read more

Trade finance technology firm TradeSun is to incorporate an environmental, social and governance (ESG) scoring system onto its compliance platform under a new partnership…. Read more

Nigel Hook

As concerns around sustainability have grown exponentially in the last few years, the focus on how to measure ESG risks has swiftly sharpened, writes Nigel Hook, TradeSun CEO, for Financial IT… Read more

At an Organizational Level

We firmly believe that sustainability starts at home.

We were pleased to partner with SustainableHQ earlier this year to track our ESG journey.

As ESG fast becomes the priority for business and society, it is imperative that companies operating across global trade, a major contributor to global business emissions, better measure their impact.

“Because ESG efforts are a journey, bumps along the way are to be expected … Companies that embed purpose in their business model not only mitigate risk; they can also create value from their values.”

McKinsey

We know there is still much work to do, but we believe transparency will be crucial to improving the ESG impact of all businesses.

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