The rating agency elevates CDP to “Prime” status, positioning it above the sector average
The achievement follows recent upgrades obtained by other specialized sustainability rating agencies globally
Rome, 29 May 2024 – Cassa Depositi e Prestiti (CDP)’s sustainability rating, assigned by the rating agency ISS ESG, a market leader in assessing ESG factors to support responsible investment decisions, has improved. Following the latest update in April1, CDP’s rating has increased by one notch, from C- to C on the agency’s rating scale2, since the previous review.
With this upgrade, CDP attains the “Prime” status for the first time, reserved for the best-in-class companies in each sector according to ISS ESG rankings, and is positioned above the average of its reference sector (“Development Banks”)3, which currently comprises around 50 companies assessed globally by the agency.
This outcome represents a further acknowledgment of the increasing and cross-functional integration of sustainability at the corporate level and follows the upgrades in ESG performances obtained in recent months by other specialized rating agencies on an international level, such as Moody’s Analytics and Morningstar Sustainalytics.
Among the primary drivers contributing to this recognition, ISS ESG highlights CDP's performance in the “Social & Governance” dimension, rated B-, with CDP significantly outperforming the average of its reference sector in the “Labour standards and working conditions” category. This demonstrates the tangible value of CDP’s policies aimed at ensuring a continuous improvement of the employee well-being.
Among the other strengths, the agency acknowledges CDP’s wide range of financial services with high social and environmental benefits, devoted, for instance, to the construction of hospitals, schools, and social housing, but also to initiatives in energy efficiency, renewable energy, and sustainable urban transport sectors. Additionally, CDP’s adoption of ESG criteria for evaluating and monitoring its financing and investment activities, also in terms of ex-post impact, has been recognized.
The sound management of corporate ethical issues, evidenced, among other things, by the availability of code of conducts covering nearly all relevant compliance areas, and the high level of transparency in corporate disclosure are also positively assessed.
1Occurred on 18 April 2024
2ISS ESG's rating scale ranges from a minimum rating level of D- to a maximum level of A+
3The average rating level of the “Development Banks” sector is equal to C-