JPMorgan Investor Services is extending its Compliance Reporting Services product to assist clients in monitoring their Socially Responsible Investment (SRI) restrictions.
Through Web-based technology, JPMorgan institutional and asset manager clients will now be alerted when their portfolios are nearing or have breached limits that they have set themselves according to Environmental, Social and Governance (ESG) criteria.
The new criteria cover some 50 categories, including adult entertainment, gambling, tobacco, weapons, country ties, board diversity, corporate governance, climate change and faith values. The service can be applied to clients’ custody or accounting records, with online reporting available through JPMorgan’s existing Web-based Compliance Reporting application.
“We have partnered with leading institutional and asset manager clients to further advance our investment compliance reporting application to support the growing interest in socially responsible investing. The recent innovations enable us to provide market-leading compliance reporting services to assist with client-definable socially responsible investment criteria. We are now in a better position to help our clients ensure investment compliance with their funds’ principles, prospectuses and regulatory guidelines,” says Rajesh Kumar, executive director for compliance reporting services, JPMorgan Investor Services.
Screening data is sourced from Institutional Shareholders Services (ISS), part of the RiskMetrics Group. Screening methodologies integrate both top-down research on a company-specific basis as well as bottom-up research on an issue-basis. The research process focuses on primary source documentation, including reviews of company filings, corporate websites, policy statements, and/or corporate, social or environmental reports.