What are ESG Ratings for Germany?
ESG Ratings for Germany is an add-on chapter available for all DE industry reports. It offers scores and analysis on the environmental, social and governance aspects of DE industry operations.
The chapter offers:
A breakdown of the 5 core environmental, social and governance issues that are common to all industries
Risk scores for the ESG issues of every industry in the DE economy
Key ESG issues and talking points for each industry
Why is ESG important?
The German government and the European Union (EU) want to increase the existing criteria for sustainability reporting for companies. In addition, there have been recent regulations that primarily affect the financial services sector and mainly deal with the topic of green finance.
The EU’s goal is to create a uniform framework for financial service providers so investments can be channeled into sustainable economic activities. As a result, there’s an increasing need for information about risk assessments on climate-related and social aspects of business operations.
Key ESG issues for DE industries
The ESG chapter helps you better understand the core issues driving environmental, social or governance risk within a given industry and which issues may require additional due diligence based on each issue’s individual rating.
You’ll find the 3 key ESG issues that are most relevant to each industry, along with call preparation questions that directly relate to each of these issues. These key issues and talking points will help you have more informed conversations with your clients and discuss the impact of ESG on business operations.
How to assess ESG risk
Our ESG Ratings allow you to quickly and easily identify the level of risk your clients may present. We assign risk scores to every DE industry for several categories within the environmental, social and governance areas, as well as an overall ESG rating.
These scores range from 1 to 9, with a higher number representing a higher level of risk with respect to the industry’s performance and possible compliance issues, litigation claims, the likelihood of detriments to society, potential defamation of public image and other ESG factors.
Purchase of the ESG chapter also gives you access to an ESG Ratings list that includes the scores of all DE industries, allowing you to easily compare your clients’ industries with the rest of the DE economy.
Methodology and approach
Download this free white paper which goes into detail about IBISWorld's methodology and approach to creating our ESG scores.
For additional questions regarding Germany’s ESG Risk Ratings, please contact your Client Relationship Manager. If you don’t have an IBISWorld account, please contact us to learn more about our membership options.