Euroclear looks to advance ESG strategy with investment in Impact Cubed

Market infrastructure giant follows up investment in Greenomy earlier this year by backing ESG data and analytics provider.

By Jonathan Watkins

Euroclear has made an investment in Impact Cubed, a provider of ESG tech-enabled analytics and data science solutions.  

Impact Cubed supports investors by enabling them to compare a security’s sustainability exposure. According to the firm’s website, it uses a risk-based single fund-level metric as a third dimension into modern portfolio theory alongside risk and return. 

Euroclear has been actively looking to bolster its ESG offerings this year, recognising the trend of market participants looking to increase their understanding of the sustainable impact of their investment strategies.  

In January, the Belgian headquartered ICSD took a strategic stake in the firm Greenomy, which supports issuers by digitising the data capture and reporting process to comply with EU sustainable finance legislation.   

Euroclear said it believes that Greenomy’s issuer-centric reporting capability and Impact Cubed’s investor-centric data capability are highly complementary businesses, aligned to its objectives of connecting issuers and investors and integrating sustainable data and analytics into its ecosystem.  

Lieve Mostrey, CEO Euroclear Group, commented: “We are very pleased to be working with Impact Cubed. This solution will provide our clients with tangible metrics across the investment processing spectrum from issuers to investment managers. As a trusted financial market infrastructure, this service is aligned to our mission to provide leadership in sustainability in the financial markets.”