For over a century, Fitch Rankings has been constructing and creating worth for world capital markets around the globe.

Head of Sustainable Fitch: Andrew Metal

The agency’s rigorous evaluation and experience have led to the event of market-leading instruments — methodologies, indices, analysis and analytical merchandise — which assist buyers to handle danger and fund development.

With rising consideration from policymakers and buyers on ESG points, market contributors recognise that the long-term sustainability of operations issues greater than ever. “Attitudes and actions on local weather change, range, and human rights have an effect on the risk-return profile of an funding portfolio,” says world head of ESG Analysis Marina Petroleka, “and an issuer’s model and repute.”

Fitch Group has responded in a complete method to this shift in ESG’s significance, initially by the launch in 2018 of a Sustainable Finance Group inside Fitch Rankings. This was intently adopted in 2019 with the launch of ESG Relevance Scores, the primary built-in cross-asset ESG-scoring system for credit score rankings. “ESG components information particular person credit standing choices throughout Fitch’s whole rated universe,” provides Andrew Metal, world head of sustainable finance.

In any respect levels, Fitch has engaged with issuers and buyers to make sure that its services and products match their necessities. The evolution of Fitch’s ESG providing culminated within the launch in September 2021 of Sustainable Fitch.

This new enterprise line is a centralised hub for all of Fitch’s services and products, together with rankings which assess ESG efficiency and the profile of entities and their debt devices. “It was designed with buyers in thoughts,” says Petroleka. “The ESG rankings are produced by groups of educated analysts who create granular, complete and clear studies and datasets.

Fitch Ratings Global Head of ESG Research: Marina Petroleka

World Head of ESG Analysis: Marina Petroleka

“There has additionally been enlargement of our ESG knowledge feeds, by Fitch Options, and a rise in specialised analysis by a devoted workforce.”

Metal is on the helm of this exercise. Now head of Sustainable Fitch, he was beforehand world group head of sustainable finance at Fitch Rankings. Andrew Metal can be accountable for the management, growth, and co-ordination of all Fitch Group ESG initiatives.

“With the one service on the planet that immediately leverages greater than 100 years of finest apply in ranking methodologies and analytical excellence,” he says, “we noticed the necessity to use that experience to develop built-in evaluation and knowledge companies to assist market contributors uncover true ESG danger and speed up ESG integration.”

Metal has 30 years’ expertise throughout rankings, banking, personal fairness and company treasury and embodies the analytical experience of Fitch Rankings. His deep information of fairness and debt markets was in some methods the launchpad for Sustainable Fitch.

“Buyers need clear, cross-comparable ESG rankings that look past labelling or targets to evaluate ESG fundamentals,” he says. “We made positive our method is knowledgeable by the market construction, with outreach throughout buyers, issuers, regulators, NGOs and others.

“This resulted in Sustainable Fitch, offering buyers with best-in-class ESG rankings, supported by knowledge and evaluation and backed by consistency, comparability, protection and granularity.”

Marina Petroleka, in the meantime, brings along with her the analysis acumen wanted to analyse the ever-expanding points going through the world of ESG. She leads a rising workforce of worldwide analysis analysts endeavor detailed analysis and credit-relevant evaluation on ESG themes and cross-sector traits.

Petroleka additionally helps and supplies enter for ESG-related analysis in all Fitch’s analytical group areas. She beforehand held senior analysis roles in Fitch Group, together with EMEA regional credit score officer for Fitch Rankings and world head of Trade Analysis for Fitch Options.

“The strands which make up ESG conversations are ever-growing and it’s vitally essential that the analysis stays one step forward,” she says. “Our ESG analysis workforce allows simply that. It supplies world protection of thematic and cross-ESG points, in developed and rising markets in APAC and Latin America. It additionally allows exploration of transmission mechanisms in credit score dangers.”

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