Makao takes a step to boost analytics on sustainability

Makao responds to investors and regulators increasing demand for improved analytics and data on sustainability.

Saturday, September 23rd 2023, 6:45AM

Wholesale investment advisory business Makao has taken the next step to lift its internal capabilities to a new level by acquiring a license to use Matter, a platform that provides access to more than 500 in-depth sustainability metrics for equity and bond portfolios.

Matter is a Danish platform provider that is used by leading financial services institutions such as BNP Paribas Asset Management. Simcorp and Nasdaq. Makao is the first Matter client in Australasia.

Makao co-founder John Horrell believes this will be highly valuable for Makao’s clients and the firm’s manager research process.

“As a research-driven firm, we are acutely aware of how important access to quality data is to make informed decisions. Matter allows us to support our clients with detailed carbon measurements and reporting on their investment portfolios. We will provide a holistic and consistent view of a total portfolio.

"This will not be susceptible to a lack of data availability or different methodologies between individual investment managers. It will also allow us to provide an additional layer of due diligence in analysing manager portfolios as part of our manager research process. In light of the ongoing debates about greenwashing, we believe access to quality data is crucial.”

Makao will collate data from multiple fund managers and create total portfolio reports for clients on various sustainability metrics such as greenhouse gas emissions, gender equality and biodiversity through the Matter platform. Makao’s first client to use the new service will be Public Trust.

Makao co-founder Noah Schiltknecht believes that the platform’s unique features will be of interest to many investors in New Zealand:

“Matter will allow us to map corporate revenues and, importantly, capital expenditure to the United Nations’ Sustainable Development Goals (SDGs) in investment portfolios. Our ESG and impact reporting services will be offered to all asset owners in New Zealand.

"We can provide this as an add-on solution to investors that may be working with a different consulting firm for investment advice.”

Makao advises foundations, trusts, financial advisory firms and institutional clients in New Zealand and the Pacific on governance, asset allocation and manager selection.

Tags: Makao