Bermuda-based Apex Group Ltd has launched a pioneering platform for monitoring the environmental, social and governance for the private markets.

Apex said its ESG Data as a Service (DaaS) platform is a verified ESG database and benchmarking index for the private markets.

It said: “Apex Group has been collecting, verifying and examining private market ESG data from more than 400 GPs, 1,500 portfolio companies in more than 45 countries since 2019, compiling a proprietary and verified ESG database for benchmarking performance.

“ESG data collection and reporting have become increasingly important in the private markets. The next step in the evolution of ESG for these market participants is to compare ESG performance metrics against industry peers.”

It said the database will include dozens of anonymised data points for peer comparison including environmental and carbon footprints, disclosure and management of climate-related risks and opportunities, DE&I statistics, cybersecurity breaches and best practice, as well as revenue generation from green, sustainable or socially impactful products and services.

The ESG DaaS offering consists of four main solutions and will initially be exclusively available to Apex Group’s existing clients:

1, ESG benchmarking index for private markets: global and anonymised private market dataset, independently verified by Apex Group ESG experts

2, Tailored advisory services with granular sector benchmarking: expert recommendations tailored to individual companies, to identify and improve area of under-performance

3, Regular market insights and research updates: aggregated research on verified ESG data trends in the private markets to drive understanding and positive change through best practice insights

4. Correlation of ESG and financial performance metrics: access to analysis on verified relationships between ESG and financial performance

Apex said it had recently become a technology platform provider for the ESG Data Convergence Initiative, an industry-led initiative converging meaningful ESG metrics for the private equity industry, by generating useful, performance-based, comparable ESG data from private companies.

Joshua Brunert, the global head of product development, ESG, at Apex Group, said: “When it comes to ESG, it is no longer acceptable for private markets investors to ‘mark their own homework’ in-house. Independent data assessment, verification and benchmarking is essential to ensure the integrity of ESG reporting and to drive positive change.”