MSCI enhances carbon market solutions with Trove Research acquisition


MSCI has declared its intention to buy Trove Research, a leading firm specialising in data, analysis, and advisory within the carbon market domain.

The acquisition has been strategically positioned to meet the soaring demand for reliable, precise, and efficient decision-making tools as the voluntary carbon market emerges as a pivotal force in funding the transition to a low-carbon economy and supporting companies to attain their net-zero objectives.

Delving deeper into the operations, MSCI Inc. stands out as a beacon for the global investment community, providing them with indispensable decision-making tools and services. On the other hand, Trove Research, founded in 2015, has carved its niche as a trusted intelligence source for carbon markets. Since 2020, the company has sharpened its focus on charting corporate climate pledges, offering unparalleled data and insights into the voluntary carbon market through an integrated platform.

This integration will amplify MSCI’s offering in climate solutions by melding Trove Research’s dominant stance in the global carbon credit market with MSCI’s comprehensive climate services. Consequently, this collaboration will enable MSCI to roll out additional products catering to the expansive carbon market ecosystem, encompassing banks, exchanges, and developers. Moreover, MSCI aims to deliver insights into companies’ transition strategies, the calibre of existing carbon credits, and future prospects in carbon credit pricing.

The union of the two giants promises to revolutionise the standards and methodologies employed in the voluntary carbon markets. This venture is a testament to MSCI’s unwavering commitment to ushering in a new era of transparency, coupled with bringing exhaustive climate data and insights to the worldwide investment domain.

MSCI Chairman and CEO Henry Fernandez said, “The voluntary carbon market has a key role to play in helping the world achieve net-zero emissions while helping our clients navigate the transition. Trove Research offers unique data and insights on how the market works and what can be done to improve it. By combining these tools with our integrated franchise, diverse client base, and wide range of capabilities, MSCI will strengthen its position as a leading provider of climate-related investment solutions.”

Trove Research CEO Guy Turner commented, “Trove’s mission has always been to use data and analysis to help facilitate better investment decisions. Combining Trove’s deep carbon market data and analytics with the scale and breadth of MSCI’s sustainability and financial data will allow us to create truly world-leading climate solutions and bring real value to clients. I look forward to what we will achieve together.”

Although the transaction specifics remain under wraps, the financial ramifications of this deal are not anticipated to have a significant impact on MSCI. Subject to standard closing terms, the deal is expected to culminate within this quarter. Post-acquisition, Trove Research’s financial data will be integrated into MSCI’s ESG & Climate reportable segment.

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