Dive Brief:
- Bloomberg launched a data solution Thursday which will allow financial firms to access data from the first companies that will have to comply with the European Union’s Corporate Sustainability Reporting Directive.
- Bloomberg said its Terminal already has data for the companies that will have to report next year and will later expand to companies that will report starting 2026. The data offering has mapped the European Sustainability Reporting Standards to existing data fields.
- While non-EU companies and certain sectors will have until 2026 to comply, the first round of CSRD reporting companies must submit their disclosures in 2025. With this tool, Bloomberg joins multiple ESG reporting and data companies that have begun expanding their offerings to cover metrics required by the bloc’s regulation.
Dive Insight:
As the CSRD was the first, and most comprehensive, climate disclosure regulation released — followed by California’s SB 253 and 261 and the Securities and Exchange Commission’s currently-paused rule — the bloc’s standards have been increasingly incorporated by ESG reporting solutions.
The tool aims to help financial firms inform their sustainability strategy and streamline how they report their financial activities, according to Bloomberg. The solution will also include historical data reported either voluntarily or under previous regulations, per the release.
“Better data drives better investment decisions,” Patricia Torres, Bloomberg’s global head of sustainable finance solutions, said in a release. “By providing high quality ESG data alongside financial data to our clients, we help them seamlessly understand the sustainability profile of their investments and streamline their reporting.”
Bloomberg said, in addition to being available on the Bloomberg Terminal, the solution will also be available as a data license for companies who wish to scale its use within their business.
Nadia Humphreys, Bloomberg’s global head of sustainable finance data solutions, said in the release that this launch represents just the “first milestone” for the company’s CSRD solution. She said the tool “will continue to evolve to capture the depth and breadth of available company-reported data.”
The CSRD is eventually expected to require over 3,000 U.S. companies to comply, according to a Deloitte estimate. However, companies have begun to align their reporting practices with the expansive regulatory framework whether they are required to or not, according to a recent study by financial and ESG software company Workiva — who released its own carbon accounting platform last week to help companies comply with the growing spate of regulations.
Eighty-one percent of respondents to Workiva’s global ESG practitioner survey who are not covered by the CSRD, released last month, reported they are actively aligning their practices with the regulation.
Mandi McReynolds, Workiva’s chief sustainability officer and global vice president of ESG, told ESG Dive at the time that companies are aligning with the regulation’s reporting framework “because they see it as becoming the standard of acceptance by their customers.”
In addition to Bloomberg and Workiva, IBM expanded its ESG reporting software, Envizi, in April to include CSRD reporting capabilities, and London-based ESG and environmental health and safety software company EcoOnline launched its CSRD assessment tool earlier this month.
