Thomson Reuters has acquired Asset4, a Swiss provider of environmental, social responsibility and governance (ESG) data. Financial terms of the deal were not disclosed.
Founded in 2003, Asset4 employs over 240 people and provides ESG information covering more than 2500 publicly listed companies worldwide.
Thomson Reuters says the credit crisis and climate change have highlighted the need for financial firms to assess the environmental, social responsibility, governance and reputational risks attached to the companies in which they invest.
By acquiring Asset4's ESG database and analysis tools, Thomson Reuters says it will provide clients with direct access to this information as part of their investment process.
The information allows investors to engage companies, improve investment performance, reduce risk and lower research costs, while corporate executives can improve governance and increase accountability, transparency and trust, says the firm.
Abel Clark, global head, strategy and marketing, investment and advisory, Thomson Reuters, says: "The ESG content and tools will bring our clients increased transparency into areas of corporate performance that will grow in relevance as voluntary and mandatory ESG disclosure and performance standards become more prevalent."