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DPC DATA Adds Climate and Social Risk Scores from Spatial Risk Systems to Its Municipal Data Platform
We address growing demand for data to support sustainable investing decisions by adding cutting-edge ESG scoring to or data service offerings. With the new MuniESG Solutions, users can now more accurately assess location-based risks from climate effects and other critical factors.
ROSELAND, NJ, March 15, 2022 – DPC DATA (DPCDATA.com) a leading provider of data and technology solutions for the U.S. municipal bond market, announced the integration of Climate and Social Risk Scores into its comprehensive municipal data services. The new offering will be known as MuniESG Solutions. The scores were developed by Spatial Risk Systems (SRS), a spatial finance firm, whose cutting-edge methodology integrates geospatial data into investment and asset risk models.
MuniESG Solutions comes in response to strong demand from DPC’s clients for climate risk data as the key component of a market-wide trend toward sustainable investing, commonly known as “ESG” (Environment, Social and Governance). A recent survey from The Bond Buyer showed that 73% of the respondents rated “environmental” factors as “critical” or “very important.”
“While ESG concerns are still evolving in the municipal market, there’s widespread consensus on the importance of climate risk exposure. The potential use cases cut across all segments of our market, from issuers, sell-side capital committers, to institutional investors and market regulators,” said Ken Hoffman, DPC DATA President.
Mapping Climate Risk to the Cusip-9 Level
The data will include both Physical Risk and Carbon Transition Risk scores for over 90% of Local Governments and School Districts in the U.S., derived primarily from U.S. government sources. All scores are based on Scope 1 and Scope 2 carbon emissions estimates developed by SRS. Users will also have access to key financial ratios combining climate data with DPC’s comprehensive financial data.
MuniESG will be available as a stand-alone data feed as well as an add-on component of MuniCREDIT Online, DPC’s new web-based financial data lookup application. In either case, DPC’s ground-breaking MuniCREDIT Mapping methodology enables direct mapping of climate risk and any future ESG scores to municipal obligors and bond issues at the individual Cusip-9 level.
“Since both financial data and climate data will be available on the same integrated platform, our users will be able to analyze climate exposure in the context of any municipal issuer’s overall fiscal resources,” Triet Nguyen, DPC Vice President of Strategic Data Operations pointed out.
“Municipal investors will now have access to a global data set at a spatial level to aid them in accurately identifying ground-level conditions, and can factor this into their investment process,” added Raymond Clarke, SRS Chief Product Officer.
About DPC DATA
DPC DATA has served the municipal bond marketplace with disclosure information and solutions since 1992. The company was a pioneer in developing solutions for the municipal securities lifecycle. DPC was one of the original SEC-designated Nationally Recognized Municipal Securities Information Repositories (NRMSIRs). Today, DPC DATA helps clients who sell or manage fixed income products get the scrubbed, accurate, and actionable data they need, in streamlined workflows, so that they can manage risk, improve productivity, sell more, and avoid regulatory penalties.
DPC DATA products are used by more than 100,000 professionals at leading brokerage, clearing, and advisory firms. For more information visit http://www.DPCDATA.com or email sales@dpcdata.com.
About Spatial Risk Systems
Spatial Risk Systems (SRS) uses fact-based data sources in the SRS Spatial Knowledge Graph and the Spatial Risk Library to measure and quantify location-based risks from climate effects, environmental hazards, carbon emissions, and socio-economic risk factors that may impact the underlying financial and operational performance of assets.
For more information, please visit https://spatialrisksystems.com or email data.support@spatialrisksystems.com.
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