MSCI ESG Score
For Stocks:
The Overall ESG Scores (lowest 0 - 10 highest) represents either the ESG Ratings Final Industry-Adjusted Score or Government Adjusted ESG Score of the issuer. ESG Ratings indicate how well an issuer manages its most material ESG risks relative to sector peers. Government Ratings indicates overall environmental, social, and governance (ESG) performance of a region.
For ETFs/Mutual Funds:
The MSCI ESG Quality Score (lowest 0 - 10 highest) for funds is calculated using the weighted average of the ESG scores of fund holdings. The Score also considers ESG Rating trend of holdings and the fund exposure to holdings in the laggard category.
For Model Portfolios:
A model portfolio's ESG Score (lowest 0 - 10 highest) measures its holdings’ management of and exposure to key ESG risks and opportunities. This is calculated by finding the weighted mean of the holdings' ESG Score with the current weights that have available data coverage. There's a 65% data coverage threshold requirement for the data point's calculation.
(Holding1 score * Holding1 weight) + ... + (HoldingN score * HoldingN weight) / (Holding1 weight + ... + HoldingN weight) = Portfolio Score