Whether you are just dipping your toes or taking the full plunge into the world of sustainability risk, let KPMG be your guide. From an evolving regulatory landscape to increased importance on ESG investing, it is more important than ever to manage your risks.

Without the right guidance, navigating through the complexity of sustainability risk can be difficult. Our KPMG experts have developed a unique risk monitoring and reporting solution that is methodologically-sound, data-powered and compliance-oriented.

Our reporting solution offers comprehensive methodologies to support a holistic approach for sustainability risk and compliance, including:

• Measure portfolio risk exposures by environmental, social and governance (ESG) factors, as well as sustainability risk scores for physical and transition risk
• Dedicated support from KPMG regulatory experts to ensure ongoing alignment with latest regulatory developments on ESG and sustainability disclosures regulations
• Calculate ESG and sustainability risk scores at the portfolio level, as well as carbon footprint, resource consumption metrics, and principal adverse impacts on sustainability factors as per SFDR criteria
• Monitor investment compliance against planned portfolio allocation limits, sustainability risk indicators and exclusion lists
• Screen active environmental, social and governance controversies of investee companies
• Customize features for easy integration of your ESG investing principles, risk materiality and methodological approaches

Integrating sustainability risk requires you to find a delicate balance between meeting an increasing investor demand, mastering new risk methodologies, acquiring specialized knowledge and data, and pursuing compliance in an ever-evolving regulatory landscape.

KPMG Sustainability Risk Reporting solutions offer pragmatic and methodologically-sound approaches to deal with these uncertainties, featuring:

• Extensive sustainability risk and ESG integration methodologies
• Dedicated support from KPMG’s regulatory, risk management and sustainability expertise
• Straightforward access to specialized ESG data and sustainability indicators
• Continuous alignment with latest supervisory requirements (e.g. SFDR, Taxonomy) and international standards
• Integrated risk and reporting engine for fund data sourcing, enriching, sustainability risk calculations and reporting
• Advanced modelling techniques for physical and transition risk, scoring, climate scenario stress testing, etc.
• Streamlined integration of client-custom modules, ESG investing and materiality principles, KPIs, risk limits and exclusion criteria