The EthicalQuote reputation index integrates thousands of news pieces gathered online and classified according to 50 Environment, Social, Governance (ESG) criteria inspired by the Global Reporting Initiative, and to their positive or negative sentiment, regarding 3400 companies worldwide.
Covalence has developed a genuine combination of automated content processing of texts in original language with qualitative assessment by an international team of analysts. The combined use of Natural Language Processing and human analysis allow us to interpret large amounts of data within a short time. More than 500 intern analysts have contributed to this work since 2001, in partnerships with many universities.
While relying on universally shared values, this methodology faces the characteristics of modern society such as cultural diversity, democratic debate and scientific uncertainty, and the challenges of defining objective ethical criteria and credible information sources.
The EthicalQuote reputation scoring system developed by Covalence, reflecting public opinion in a pragmatic and dynamic way, allows to explore and use potential correlations between extra-financial and financial measures of performance.
Our conviction is that ESG reputation is translating trust and consensus of the different stakeholders in a company, and its ability to adequately factorize social and environmental concerns. It is an indicator of the quality of risk management, brand positioning, innovation capacities, and strategic vision. It is also a vector of the return on investment of sustainability initiatives.