METHODOLOGY

Carbon Diagnostics Methodology

Our Carbon Diagnostics methodology employs a top-down approach to calculate financed emissions and climate risk analysis. This innovative method enables market-leading portfolio coverage, providing insights across all major asset classes.

At the core of our approach is carbon pricing, a critical factor in assessing transition risk as economies move towards Net Zero. By quantifying potential carbon costs in financial terms, we offer a standardised measure of climate-related impacts across assets and sectors. This allows for meaningful comparisons and helps estimate how emissions and evolving pricing scenarios may affect enterprise value over time.

Our analysis integrates these elements to deliver actionable insights, supporting climate reporting and feeding directly into the investment management process.

More metric-specific details coming soon...

Financed Emissions

Emissions estimation with award winning machine learning. A footprint for your investments: your financed emissions.

Temperature Alignment

Assess a company as though it represented global GDP. Show what temperature it's emissions are aligned with.

Potential Carbon Liability

Apply a price on carbon budget overspend. Forecast enterprise value erosion over time as a result of this new cost.

Climate Scenario Analysis

Potential carbon liability analysis across multiple climate scenarios, from IPCC, NGFS, and PRI.

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This guide provides an accessible introduction to our public equities methodology. For more detailed methodology documents, please contact us directly.

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