ESG Fusion by ERM is an AI-enabled service that provides on-demand ESG due diligence and screening to help investment professionals make better decisions.

ESG Fusion evaluates more than a dozen factors including climate change (physical and transition risks), supply chain and diversity, equity and inclusion (DE&I) to provide a comprehensive assessment of a company’s ESG risks and opportunities. This innovative platform combines deep expertise informed by decades of transaction advisory—approximately 3,000 deals per year—and corporate sustainability consulting.

In a nutshell:

- On-demand ESG due diligence and screening: Agile combination of human and advanced intelligence enables research turnaround within 48 hours.

- Comprehensive ESG insights and analysis: Including two ESG risk dimensions - industry-driven business model risk & reputational risk - and measuring companies’ response to these risks. In total, ESG Fusion is based on an industry-specific framework encompassing more than 150 research indicators.

ESG Fusion approach: Why is it different to other ESG Ratings?

ESG research and scoring methodology developed by ESG experts: Fusion applies ERM's deep Sustainability and ESG subject matter expertise across a variety of topics to form a robust methodology incorporating industry-inherent ESG risk, company-specific ESG risk, and an assessment of the company’s ESG management maturity.

Consistent approach and comparable rating results: Leveraging ERM’s digital capabilities, ESG Fusion applies our proprietary “SmartFetch” technology and natural language processing to augment the human intelligence of ERM’s deep domain experts and 50+ years of ESG risk analysis experience.

ESG Fusion is used by investors on a company and portfolio level spanning different asset classes:

- Pre-investment (ESG due diligence and screening, ESG integration, benchmarking: best-in-class/universe)

- Post-investment (monitoring, engagement, reporting).

Applicability: Predominantly private credit markets but also equity and public market investments.

ESG Fusion by ERM

by Environmental Resources Management Limited