ESG Certification & Compliance

With Environmental, Social, and Governance (ESG) and climate change disclosure requirements on the rise, asset managers are expected to be transparent in their investment process. To prevent greenwashing, firms and funds must certify to the market that their ESG commitments are trustworthy and valid. Integrity 2 ESG takes a trust but verify approach to validate that funds are actually doing what they say they’re doing.

To prevent greenwashing, firms and funds must certify to the market that their ESG commitments are trustworthy and valid.

Integrity 2 ESG has pioneered a first-of-its kind solution for the independent certification of ESG strategies for funds and fund managers. The firm’s dedicated ESG team embeds K2 Integrity’s global reputation, its risk and regulatory skills, and its proprietary framework and scoring methodology into the certification, adding long-term financial and reputational value.

The Integrity 2 ESG certification assures a fund and its investors that the fund has a systematic approach to ESG and a demonstrated institutional commitment to that approach. Using information gained from a fund’s voluntary self-disclosures, an independent review, and publicly available information, Integrity 2 ESG is able discern if the fund is providing accurate and measurable evidence regarding its ESG initiatives. Taking the highest U.S. industry standards and global regulations into consideration, Integrity 2 ESG certifies the fund’s ESG initiatives as one of the following:

• Integrated

Funds that use ESG principles in their decision-making process

Alignment to SFDR Regulations

Integrated Article 6

• ESG Focused

Funds that have a specific industry or metrics used to build investment strategy and/or policy

Alignment to SFDR Regulations

ESG Focused Article 8

• ESG Impact

Funds that measure environmental, societal, or governmental impacts with a focus on ESG-centric performance

Alignment to SFDR Regulations

ESG Impact Article 9

Integrity 2 ESG’s certification is more than just a seal of approval; it validates to the marketplace that a fund and its managers are committed to ESG best practices and aligned to relevant standards and guidelines. It also helps expedite your ESG and climate journey by providing timely insights and strategic recommendations.

Technology

Proprietary technology platform and scoring system

Integrity 2 ESG is backed by a modern technology stack allowing us to efficiently deliver insights into both what funds are saying and what they are doing. Our proprietary risk scoring framework uses machine learning and natural language processing to sift through large amounts of data and provide a comprehensive certification result.

Integrity 2 ESG has partnered with Novata, an ESG technology platform that enables private companies to collect, analyze, benchmark, and report relevant ESG information. Our clients can securely and easily provide fund information via Novata’s innovative data collection platform.

Integrity 2 ESG externally validates and conducts research via RepRisk, a Swiss data science and intelligence company, to further understand a fund’s investment portfolio and its alignment with ESG priorities.

integrity2
The need to validate and quantify ESG initiatives has never been greater, as investors, regulators, and other stakeholders pay closer scrutiny to funds’ activities. Funds and fund managers must make sure they are following through on their ESG commitments. This assessment certification complements K2 Integrity’s existing financial crime risk management services and will allow us to remain best-in-class in serving our global clientele through all of their needs, by bringing together ESG, regulatory, legal, industry, training, and certification expertise.
— Andrew Rabinowitz, Senior Advisor, ESG & Impact Solutions
— Andrew Rabinowitz, Senior Advisor, ESG & Impact Solutions
Today, appropriate measures of risk have expanded to include ESG considerations, since many ESG metrics directly affect how a company performs and, in turn, its financial value. We are very pleased to partner with K2 Integrity on their ESG certification program that will help investors, regulators, and other stakeholders have confidence in their assessment of the ESG programs of leading investors.
— Josh Green, Chief Operating Officer and Co-Founder of Novata
— Josh Green, Chief Operating Officer and Co-Founder of Novata
When we look at our data, one of every five climate-related ESG incidents over the past two years was also linked to misleading communication (greenwashing). This presents a challenge for investors when it comes to separating empty promises from meaningful action, and a challenge for funds in proving their credentials. We are excited to partner with K2 Integrity to help tackle this challenge by making our unique ESG risk data part of their certification process. Together, we can help bring greater transparency and accountability to the market—while also supporting investment firms in their efforts towards more sustainable investment.
— Alexandra Mihailescu Cichon, Executive Vice President at RepRisk
— Alexandra Mihailescu Cichon, Executive Vice President at RepRisk
We recognize the importance of ESG and the role that our industry can play in contributing to societal good. We are proud to contribute to the creation of a global ecosystem where the benefits of ESG can be realized. We have worked closely with key industry partners to introduce leading solutions that are reflective of the shift taking place across the industry. This is a natural evolution of our offering and a complement to the existing legal, fund, fiduciary, regulatory compliance and entity formation and management services offered across the Maples Group, ensuring that we can effectively support managers and investors in the ESG environment and beyond.
— Mark Weir, Deputy Global Head of Fund Services for the Maples Group
— Mark Weir, Deputy Global Head of Fund Services for the Maples Group
Consumers buy the ESG label from funds but do not have the time or the means to verify whether the fund lives up to that label. Good funds want to assure consumers of their quality. Hence, we need a trusted intermediary like K2 to make this market and reduce information asymmetries between the buyer and the high-quality ESG seller.
— Shivaram Rajgopal, Kester and Byrnes Professor of Accounting at Columbia Business School
— Shivaram Rajgopal, Kester and Byrnes Professor of Accounting at Columbia Business School
Previous
Next

Partnerships

In collaboration with select leading global firms and world-renowned academics, we have established a team of experienced subject-matter experts.

maplesres
logo novata color
Reprisk 1
CMUresized
citcores
Chimera Capital
Kalmus Logo 1

Leadership

In collaboration with select leading global firms and world-renowned academics, we have established a team of experienced subject-matter experts.

Rabinowitz Andrew 644x466

Andrew Rabinowitz

Senior Advisor, ESG & Impact Solutions

Sharma Neelam 644x466

Neelam Sharma

Chief Business Development and ESG Officer

Steiner Melanie 644x466

Melanie Steiner

Managing Director, ESG

Golden Peter 358x259px

Peter Golden

Managing Director, ESG

Swersky Alan 644x466

Alan Swersky​

Director of Business Development

Herbst Steve 644x466

Steve Herbst

Client Relations Executive

Subject-Matter Experts

Naayam Joseph 644x466

Joseph Naayem, CFA

Kalmus Capital Founding Partner

Herbst Marcel 644x466

Marcel Herbst

Managing Principal, Herbst AG and Elgin Crescent LLC

Roth Paul 644x466

Paul Roth

Founding Partner, Schulte Roth & Zabel

Academic Partnerships

Gerner beurle carstenff 644x466

Carsten Gerner – Beuerle

Professor of Law, University College London’s Faculty of Laws

Petrin Martin 644x466

Martin Petrin

Professor and Chair in Corporate Governance, Western University

Rajgopal Shivaram 644x466

Shivaram Rajgopal

Kester and Byrnes Professor of Accounting and Auditing, Columbia Business School

tucker brett 644x466

Brett Tucker

Adjunct CERT Faculty at the Heinz College, Carnegie Mellon University

Cort Todd 644x466

Todd Cort

Faculty Co-Director for the Center for Business and Environment at Yale (CBEY), Co-Director of the Yale Initiative on Sustainable Finance (YISF), Yale School of Management

Choudhury Barnali 644x466

Barnali Choudhury

Honorary Professor, University College London’s Faculty of Laws

Team

Zhang Joy 644x466

Joy Zhang, MPA, MSW

ESG Tech Associate

Ash Alexis 644x466

Alexis Ash

ESG Associate

McCarthy Nolan 644x466

Nolan McCarthy

Associate

Contact Us

Contact our Integrity 2 ESG team to learn more.

Contact our Integrity 2 ESG team to learn more.

Name
k2 footerlogo

Looking for a financial crimes, risk, or regulatory advisory firm?
Contact us today to find out how we can help you manage risk.

Talk to Us