This ESG Winner Is Hiding in Plain Sight
Last week, investment index provider MSCI (NYSE: MSCI) reported its second-quarter earnings. The numbers pointed to increasing recurring revenue and profitability. But the star of the show was the company's ESG and Climate segment. Let's take a closer look.
MSCI recently reported that its Q2 revenue was up 11% to $552 million, and adjusted earnings per share rose 13% to $2.78. Embedded in the quarterly numbers was 8% organic growth in the overall company and organic growth across three of its four business segments, including its ESG and Climate segment.
MCSI is best known for its international stock index business, which provides index data to investment companies that benchmark their performance against MSCI's widely recognized indexes. For instance, an international mutual fund may license data from the company's MSCI World index. The mutual fund can then show its performance to investors and include it in marketing materials. Some index mutual funds or ETFs seek to match MSCI's indexes exactly. Those customers are so entrenched in MSCI's index they use the MSCI trademark in the name of their mutual fund or ETF, like iShares MSCI World ETF.
Source Fool.com
