CCLA's responsible investment screening is based upon data provided from our third-party data providers. These are currently FTSE, MSCI and Sustainalytics.
We take a number of steps to ensure that this data is accurate:
First, we appoint our data providers every three years through a rigourous tender process. This enables us to identify the best possible providers and stay up to date with changes in the ESG data market.
Second, whilst we expect our data providers to routinely check their findings with underlying entities, we routinely audit the accuracy of the research and periodically forward their findings to the researched companies. Where we identify discrepencies we inform the data provider.
Third, the data is uploaded into our order management system. This blocks trades, made in error, that would contradict either our responsible investment or our clients' ethical investment policies. This data is updated in our internal order management systems every month. This ensures that CCLA's investment process is informed by the most up to date information possible.
Finally, we undertake regular audits of the process on a weekly, monthly and annual basis.