Quantis drives collaboration in sustainable finance with the NEC Initiative

There’s a growing need in the financial sector for tools that capture and measure environmental risks to support responsible investment strategies. That’s why Quantis’ partner Sycomore AM developed the Net Environmental Contribution (NEC) indicator — a single metric that shows how environmentally advanced a product or company is relative to an industry average.

The great news is, Sycomore AM has made the NEC indicator open-sourced through a new collective platform called the NEC Initiative. Quantis is proud to be the organizer of this collaborative project. We look forward to contributing our expertise in environmental metrics and multi-stakeholder partnerships to develop a shared standard for sustainable investment.

Sustainable Finance

“Our aim is to provide a simple answer to a complex question: ‘Does this business, company, fund or index contribute to the environmental and energy transition?’”

Jean-Guillaume Péladan,
Sycomore AM’s head of environmental strategy

The indicator can be applied to all industries and funding types. It is the fruit of over 3 years of R&D with I Care & Consult, Quantis, and BNP Paribas Securities Services. The NEC indicator delivers a single figure ranging from -100% to +100% with 0 being the industry average and +100% reflecting the most efficient scalable solution available on the market in terms of environmental performance.

Historically, financial decision-making tools that integrate environmental risks have been developed in silos. But if we’re going to realign the entire sector toward sustainable finance, we need collaborative efforts across the entire financial sector. This is the ambition of the NEC Initiative — a multi-stakeholder collective to develop a shared standard for sustainable investment.

Read more about the NEC Initiative in the full press release.

Learn how Quantis is accelerating sustainable finance with the NEC Initiative in this Q&A with Emmanuelle Aoustin.

Ready to integrate robust environmental metrics into your investment strategy? Contact Senior Sustainability Consultant Vanessa Pasquet to learn how to join the NEC Initiative.