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International Portfolio Outperformance Linked to ESG Data, TruValue Labs(TM) Backtest Shows

Results Show that a New ESG Signal Produces 8 Percent Outperformance in Annualized Returns, an Indicator of Robust Performance

SAN FRANCISCO, CA / ACCESSWIRE / October 16, 2018 / TruValue Labs, the pioneer in AI-driven environmental, social, and governance (ESG) data, today announced the results of a new research report that demonstrates that the company's ESG factors enable significant annual outperformance vs. the All Country World Ex-US index (ACWX) benchmark over a 10-year period.

The study introduces a new "ESG Activity Signal" for which the top quintile of companies ranked by the factor beat the ACWX index by 7.9 percent annually. In English-speaking countries, the strategy produced 9.8 percent outperformance, and in non-English-speaking countries, 6.4 percent. The ESG Activity Signal shows low correlation to typical smart beta factors, enabling top quintile performance of 9.0 percent and a quintile spread of 9.8 percent in combination with typical smart beta factors.

"We found strong value outside the U.S., and it is additive to smart beta approaches," said Dr. Stephen Malinak, Chief Data and Analytics Officer for TruValue Labs. "This study shows that alpha-generating signals derived from unstructured data sources can provide significant outperformance for investors with international portfolios, whether they include companies based in English-speaking or non-English-speaking countries."

The study, "Finding Alpha from ESG 2.0 Factors Beyond the U.S.," examines the historical performance of global portfolios constructed with TruValue Labs' data. TruValue Labs' ESG methodology incorporates both positive and negative company events calculated on a daily basis and thereby provides investors with more timely, actionable information for investment decisions.

"This research confirms that when companies perform well on TruValue Labs' platform with high event volume, there's great potential for investors," said Hendrik Bartel, CEO and Co-Founder of TruValue Labs. "We're excited to offer more than a decade of historical ESG data for international companies in order to help asset managers find new sources of alpha."

About TruValue Labs™

TruValue Labs is the first company to apply artificial intelligence (AI) to uncover timely and material Environmental, Social, and Governance (ESG) information at scale. The company's mission is to deliver increased transparency to investment professionals by providing data and analytics that go beyond traditional fundamentals. The flagship product, Insight360™, delivers investable insights by revealing intangible value and risk factors from unstructured data at the speed of current events. Visit www.truvaluelabs.com to learn more about the SaaS and API products.

CONTACT:

Lauren Herman
Caliber Corporate Advisers
lauren@calibercorporate.com
952.221.4615

SOURCE: TruValue Labs



View source version on accesswire.com:
https://www.accesswire.com/525351/International-Portfolio-Outperformance-Linked-to-ESG-Data-TruValue-LabsTM-Backtest-Shows

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