Methodology for assigning ESG Ratings to Regions
The Methodology presented is a short public version
- Version 1 as of September 2017
ESG rating of a Region represents opinion of Rating-Agentur Expert RA GmbH on on the environmental, social and governance strengths and weaknesses of a region.
The environmental, social, governance and total ESG ratings assigned by Rating-Agentur Expert RA GmbH are defined on the basis of allocating the company to one of 9 rating classes according to the following scale:
| AAA[esg] |
AAA[e] |
AAA[s] |
AAA[g] |
Highest
level |
89 - 100% |
A-rating band
The entity’s position is above average. Minor or no further actions are required, but the entity can benefit from any additional improvement or innovation. |
| AA[esg] |
AA[e] |
AA[s] |
AA[g] |
Very high
level |
78 - 89% |
| A[esg] |
A[e] |
A[s] |
A[g] |
High
level |
67 - 78% |
| BBB[esg] |
BBB[e] |
BBB[s] |
BBB[g] |
Moderately
high level |
56 - 67% |
B-rating band
The entity’s position is average. The entity faces a bearable amount of risks, which can be mitigated with a reasonable number of further actions. |
| BB[esg] |
BB[e] |
BB[s] |
BB[g] |
Sufficient
level |
44 - 56% |
| B[esg] |
B[e] |
B[s] |
B[g] |
Moderately
low level |
33 - 44% |
| CCC[esg] |
CCC[e] |
CCC[s] |
CCC[g] |
Low |
22 - 33%
|
C-rating band
The entity’s position is below average. Strong actions are required. The entity faces a significant amount of risks but there is a big room for improvement. |
| CC[esg] |
CC[e] |
CC[s] |
CC[g] |
Very low
level |
11 - 22% |
| C[esg] |
C[e] |
C[s] |
C[g] |
Lowest
level |
0 - 11% |
