Decoding the Sustainability Opportunity in BFSI: Deep-dive into the Environmental, Social, and Governance (ESG) Data & Analytics and Technology Provider Landscape
Thematic Report

30 Jul 2021
by Ronak Doshi, Aaditya Jain, Sampada Rahalkar, Kriti Seth, Kriti Gupta, Pranati Goswami, Saurabh Anand, Divyam Jain, Japshabad Suri, Saumil Misra

Banking, Financial Services, and Insurance (BFSI) firms are under increasing pressure to operate sustainably and be mindful of their economic, social, and environmental impact. Regulatory push, changing demographics, risk mitigation, and surge in brand equity have driven BFSI firms’ focus on sustainability, which has further been accelerated by COVID-19, emphasizing the importance of sustainable investments during uncertain times.

In fact, sustainability has become a board-level agenda and is likely to drive the next-best action for every strategic decision-making – business, people, process, experience, operations, products, and channels. As BFSI firms work toward becoming future-ready, purpose-driven organizations, it will be vital to measure the impact of sustainable efforts, with focus on Environmental, Social, and Governance (ESG) metrics.

To cater to the increasing need, the ESG provider ecosystem is expanding at an exponential rate, with ESG Data and Analytics (D&A) providers helping to bridge the data gap, the biggest roadblock to sustainability-led transformation.

In this research, we examine the ESG D&A provider landscape by studying the offerings, data coverage, and technology maturity of 18 ESG D&A providers and highlight the potential of ecosystem partnerships for BFSI firms. The D&A providers include large firms that have historically provided financial research (market), small to mid-sized firms offering ESG-related data and services as their core offering (exclusives), and niche firms supporting one or more aspects of the ESG spectrum (specialists).

Scope

  • Industry: BFSI
  • Geography: global
  • The research is based on Everest Group’s interactions with leading D&A providers in ESG, RFI processes with the providers, and an ongoing analysis of sustainability in the BFSI market

Content

This report studies:

  • Key drivers for BFSI firms’ increasing focus on sustainability
  • The sustainability maturity continuum for BFSI firms
  • Major challenges that BFSI firms face as they advance on their journeys to become purpose-driven organizations
  • The ESG data, technology, and IT services vendor landscape for BFSI firms
  • The offerings and capability maturity of 18 ESG D&A providers
  • Everest Group’s outlook on trends shaping the ESG D&A provider landscape

Membership(s)

Banking Information Technology

Sourcing and Vendor Management

 

Page Count: 85