It goes beyond carbon to consider all of the environmental issues identified by the EU and UN: biodiversity, climate, air, water and waste.
It takes into account all of the transition risks and opportunities from products and services using a transparent process that anyone can employ.
Using bottom-up analysis, it starts with the entire value chain, narrows to products & services, and culminates with detailed analysis, activity by activity.
It calculates using quantifiable physical data from academic, peer-reviewed sources, third-party studies, certification schemes and similar environmental initiatives.
The NEC has been tested for all geographies and all sectors and proven applicable across different asset classes (equity, bonds, real estate, infrastructure).
It will continue to grow and evolve through a collaborative effort uniting thought leaders in the financial and commercial sectors.