10 November 2021

Our latest Carbon Impact Analytics methodological guide

Carbon Impact Analytics (CIA) is a methodology for assessing the full climate impact of portfolios through bottom-up measurement of greenhouse gas (GHG) emissions directly and indirectly induced and saved.

The method also provides an assessment of the alignment of investor and lender portfolios with a climate-focused strategy.

What’s new?

For readers already familiar with the latest edition of the CIA methodological guide (2018), here are the main changes we’ve made to our methodology:

  • Company overall rating: In addition to current and forward-looking performance, we also consider the past performance of the company to calculate its overall rating. It now ranges from 1 (best) to 15 (worst).
  • Forward-looking qualitative grid: We’ve added a 5th criterion: governance of climate-related risks and opportunities. We also consider the two major activities of the company when conducting the forward-looking analysis.
  • Temperature alignment: Alignment is now based on the overall rating ranging from 1 to 15, thus alignment formula was reviewed. As the CIA methodology covers more and more sectors, the dataset used to proxy the world economy grows bigger, thus refining the alignment methodology.
  • Portfolio treatment: We now retreat multiple accounting between private (corporate) and public (sovereign) economic sector as well. See methodological guide for more precision