What do the investment professionals at DVFA think about the acquisition of the voting rights advisor Institutional Shareholder Services (ISS) by Deutsche Börse? In its monthly question for December, the DVFA – the Association of Investment Professionals in Germany – asked its members about some theses and questions about the possible effects of the takeover on ESG scoring. Overall, the survey shows a very mixed picture, but there is general agreement.
Thesis I, ESG scorings are a public, political task that should not be developed and sold by profit-oriented companies, 19 percent of the investment professionals fully agreed, another 30 percent agreed. On the other hand, 34 percent disagreed and 17 percent did not agree with the thesis at all. In the comments, it also became clear that you shouldn’t blindly rely on a provider of ESG scorings anyway, but rather that you have to get an idea of the ESG risks yourself. In the end, it is irrelevant who develops ESG scorings. It is important to all that these must be measurable, comparable and goal-oriented.