We do not make individual qualitative judgments on a company-by-company basis, but use unified statistical and mathematical processing to conduct neutral and objective ESG assessments and data estimation. Due to the nature of the service we provide, we do not conduct prior confirmation with individual companies prior to the release of their ratings and data. If you have any questions regarding our assessments or data, please contact us through the "Contact Us" link on this website.

Evaluation indicators are items tuned for Japanese companies while complying with international frameworks such as IIRC, GRI, SASB and SDG Compass. In addition, the evaluation method uses machine learning modeling to introduce different weights for each industry and theme, and adjusts and processes them so that they can be compared with other industries and other companies. In addition, evaluation indicators and evaluation methods will be continuously updated in a timely manner in response to changes in market conditions and social conditions.

Sustainability Score Calculation Procedure

1. Non-financial indicators have different orientations, so they are adjusted. (e.g. Smaller CO2 emissions and higher waste recycling rates are desirable)

2. In order to enable comparison between companies regardless of business scale, each non-financial indicator is converted into a ratio with financial indicators according to their characteristics. (e.g. CO2 emissions → CO2 emissions per unit of sales)

3. Calculate the deviation value within the industry (using the GICS 69 industry classification) for each index.

4. Determine the weight of each non-financial indicator according to the disclosure rate in the industry, various sustainability frameworks (GRI, SASB, etc.) and the common use ratio of ESG evaluation organizations, etc., and use the weighted average for each materiality score derived.

5. Based on various sustainability frameworks and materiality maps of ESG rating agencies, we determine the weight of the materiality score for each industry and derive the sustainability score. The materiality score takes into consideration the environment, risks, and opportunities of each industry. For example, energy and manufacturing industries emphasize environment-related indicators, while industries with strict global regulations, such as finance and healthcare, focus on governance-related indicators. attach more importance.

SDGs score calculation procedure

1. 1-3 is the same as Sustainability Score.

2. Individual non-financial indicators according to the disclosure rate in the industry, various sustainability frameworks (GRI, SASB, etc.) and the common use ratio of ESG rating agencies, etc. , and derive the score of each 17 SDGs target.

3. The sustainability score is calculated using the same weight for all 17 SDGs target scores.

Data is usually retrieved and updated at the end of each month.