BCG Named Long-Term Benchmarking and Advisory Partner to the ESG Data Convergence Initiative

BOSTON—The ESG Data Convergence Initiative (EDCI) Steering Committee announced today the formalization of Boston Consulting Group’s role as the initiative’s long-term benchmarking and advisory partner, with an initial term of three years.

Boston Consulting Group (BCG) has supported the EDCI on a pro-bono basis since the initiative’s inception in 2021. Going forward, the firm will continue to collaborate closely with the initiative’s official Secretariat, the Institutional Limited Partners Association (ILPA), and support the EDCI in two primary ways:

  • By serving as the third-party aggregator of anonymized data through BCG Expand, a fully owned subsidiary that specializes in benchmarking, in order to create a robust benchmark, derive research insights, and support any external publications as governed by Steering Committee approval.
  • By supporting the Steering Committee with its annual sprint process to review the initiative’s progress (including gathering and structuring participant feedback on EDCI metrics).

The EDCI is a first of its kind, industry-led effort by the private equity community to drive convergence of meaningful ESG metrics, and generate comparable, performance-based ESG data. This ground-breaking initiative has seen remarkable growth in its inaugural year, with uptake from over 275 general partners (GPs) and limited partners (LPs) representing $25 trillion of assets under management, enabling them to effectively contextualize the ESG performance of their portfolios for the first time. The EDCI Steering Committee is co-chaired by representatives from The Carlyle Group and Canada Pension Plan Investment Board (CPP Investments).

“BCG is deeply committed to EDCI’s mission, and we’re delighted to continue our support,” said Vinay Shandal, BCG’s global head of sustainable investing. “We anticipate this initiative will prove to be a critical enabler in helping private companies benchmark their current ESG position and use that information to accelerate sustainability transformations in ways that create measurable value for all stakeholders.”

“This is an exciting next step for the initiative,” said Meg Starr, GP chair of the EDCI Steering Committee and Carlyle’s Global Head of Impact. “BCG has been a key thought partner for the Steering Committee from the inception of the EDCI and has demonstrated its ability to provide all participating GPs and LPs with best-in-class ESG data benchmarking.”

“The EDCI’s role in enhancing the private equity industry’s approach to data and reporting on ESG factors - including at portfolio companies - is increasingly important in driving value creation in private markets”, said Samantha Hill, LP chair of the EDCI Steering Committee and Managing Director, Sustainable Investing at CPP Investments. “Supported by the continued commitment of many GPs and LPs across the industry, and the renewed partnership with BCG, we will continue developing and identifying data that is critical to advancing ESG reporting and decision making in private equity”.

“ILPA is pleased to see this partnership formalized,” said Matt Schey, ILPA Senior Director for Sustainable Investing. “As Secretariat to the EDCI, we look forward to continuing to work closely with the BCG team and EDCI Steering Committee to support this important initiative and drive convergence around meaningful environmental, social, and governance metrics for the private equity industry."

Learn more about the ways in which BCG supports private equity funds on ESG topics here.

Media Contact:
Eric Gregoire
+1 617 850 3783
gregoire.eric@bcg.com

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