Aviva has announced the launch of an ESG profiling tool (ESG Profiler) on its adviser platform to measure and review client’s holdings against six ESG preferences.
The ESG Profiler reportedly uses data sourced from MSCI and other ESG data providers. The ratings are then totalled up to a fund level and a client’s portfolio can be assigned an ESG rating.
The preferences currently available on the platform include climate change, waste, water security, women in leadership, deforestation involvement, and human rights involvement.
Aviva said the ESG Profiler provides a “potential safeguard” against greenwashing, and that by assessing a fund’s ESG credentials, advisers can demonstrate to clients how they are currently performing against key ESG preferences.
Additionally, Aviva said that further preferences will be added to the platform as more data becomes available.
There are also plans to roll the ESG Profile out across Aviva’s other platforms in addition to its adviser platform.
Mike Hogg, head of platform proposition at Aviva, said: “This tool was designed to cut through the noise and provide an objective assessment of the assets in a client’s portfolio, allowing them to decide on what action they want to take to meet their investment aims in line with values that are important to them.
“We’ll then take feedback from advisers on how to refine it and where to take it next. High on our list is to extend the number of ESG preferences and allow advisers to play out ‘what if?’ scenarios to understand the impact of changing portfolio holdings.”
He added: “Aviva has targeted net zero carbon by 2040. We want to help our customers too, in their ambitions to reduce carbon by harnessing the power of their investments. Rigorous, open and transparent ESG assessment is vital to this.”