For each analysed issuer (new investment case or update of an existing investment case), the analysts of Trecento AM assess the global ESG policy implemented or not by the issuer and assign a proprietary ESG score (from 1 to 5, 5 being the highest score). This analysis materialises by a proprietary evaluation grid that is adapted to the specificities and the rampant environmental/social risks of a sector or sub-sector. By principle, the analysis of the governance of an issuer is the same whatever the sector or sub-sector. Each evaluation grid includes between 40 and 45 indicators, the analysis of each of them is qualitatively commented, formally documented and duly sourced.
The evaluation grid enables the analyst to score each of the E, S and G criteria and result in a score for each E, S and G factor. The ESG global score of an issuer is a weighting of these individual scores, depending on the number of indicators amongst each factor.