According to an update announced this morning to ISS ESG screening tool Governance QualityScore, outcomes will now include scoring on 17 newly introduced factors as part of the calculation for overall portfolio company governance in investor reports. This is the largest update to ISS’s methodology used to assess corporate governance caliber in recent years. The new factors to be part of governance scores include a bevy of assessments on information security risk management and oversight, and also include measures related to ethnic and racial diversity on the board and the quality of disclosures and communications on diversity and inclusion performance metrics in executive compensation plans.
Agenda – ISS to Score Boards on Information Security Oversight