Asset manager Northern Trust has further enhanced its suite of environmental, social and governance (ESG) investment analytics to deliver new climate risk reporting for global institutional investor clients.

The Climate Focus Report, part of asset manager’s ESG Insights suite of reporting solutions, offers clients a range of carbon metrics, physical risk and transition risk detail at the portfolio level, including detailed emissions information, carbon intensity measures and forward-looking scenario pathway analysis.

The resulting information supports institutional investors, such as pension funds, helping them assess key climate change risk factors against investments in their portfolio and compare them against representative benchmarks for absolute and relative analysis over time.

It also supports clients’ internal oversight and external disclosure obligations through its alignment with the Financial Stability Board’s Task Force on Climate-related Financial Disclosures reporting recommendations.

This latest addition to the ESG Insights service follows a recent enhancement to the company’s performance measurement service through the integration of ESG scores into its investment analytics tool, RADARTM. Clients can now access insights into potential links between ESG performance and investment performance by using new views created to show returns grouped by individual E, S and G pillar scores, in addition to an overall ESG score breakdown.

Climate Focus Report is generated by combining global custody asset information with data provided in partnership with ISS ESG, the responsible investment arm of Institutional Shareholder Services, a global provider of investment stewardship solutions.

The company’s ESG Insights solutions are delivered via its investment risk and analytical service group, which supports over US$9 trillion of investments (as of June 30 2021) by asset owners and managers around the world.