Investigate The ESG Score Methodology

ArXiv ID: 2312.00202 “View on arXiv”

Authors: Unknown

Abstract

Whether the Refinitiv provide a reliable and trusted methodology in the process of aggregating 10 category scores to overall score?

Keywords: Credit Scoring, Methodology Validation, Refinitiv, Data Aggregation, Financial Ratings, Fixed Income / Credit

Complexity vs Empirical Score

• Math Complexity: 1.0/10
• Empirical Rigor: 2.0/10
• Quadrant: Philosophers
• Why: The paper focuses on conceptual critique and literature review of ESG methodologies without advanced mathematical derivations, and it lacks code, backtests, or datasets, indicating low empirical rigor.

  flowchart TD
    A["Research Goal:<br>Validate Refinitiv ESG Score Methodology"] --> B{"Key Methodology Steps"}
    
    B --> C["Data Input:<br>10 Category ESG Metrics"]
    B --> D["Data Input:<br>Industry-Specific Weightings"]
    
    C --> E["Computational Process:<br>Normalization & Scoring"]
    D --> E
    
    E --> F["Computational Process:<br>Weighted Aggregation"]
    
    F --> G["Outcome:<br>Overall ESG Score (0-100)"]
    F --> H["Outcome:<br>Score Reliability & Methodology Assessment"]