ESG stands for Environmental, Social and Corporate Governance. Examples of items belonging to ESG data are: CO2 Reduction, Child Labor Controversies and Board Gender Diversity.
Since there are no disclosure rules for ESG data, this data is not available for all public companies. The coverage differs per database. There are also no universal standards or regulations.
Within the databases the EDSC offers, you can find ESG data in:
- Datastream – Asset4 data
- KLD (available in WRDS)
Apart from the way to get data, the most important differences are:
- Access: Getting data from Datastream is only possible at the Datateam pc’s in the Y03-17. Bloomberg terminals are available in Y03-18. KLD is accessible via from home.
- Geographical coverage: KLD only contains American stocks. Datastream and Bloomberg offer ESG data worldwide.
- Historic: KLD has data started from 1991. Datastream contains data from 2002 onwards. Bloomberg from 2005.
- Identifiers: to get data from financial databases like Bloomberg and Datastream identifiers are needed: ISIN-, SEDOL. In KLD you need the CUSIP (8 digits) or Ticker symbol to retrieve the data.
- Update: KLD is being updated once a year, while in Datastream data til yesterday can be found and in Bloomberg even realtime.