Social Subsidy

Social Subsidy is a new approach to quantifying the holistic environmental and social impact of a company. Social Subsidy measures the dollar value of the harm corporate actions have on society.

Using the latest data gathering and Artificial Intelligence techniques to quantify and aggregate how corporate environmental damage, anti-competitive practices, adverse working conditions and tax avoidance hurts society.

We developed this approach after feeling most other Ethical Investing approaches focused on environmental impact and neglected other corporate actions that cause harm.

We also felt that the scoring techniques used by most ESG / Sustainable investing approaches were arbitrary and failed to aggregate and translate the data in to a tangible real-world dollar value that could be used to compare companies.

Our complete database covers the 4,500 largest global listed corporations across all Developed, Emerging and Frontier markets. For each company, this database covers:

• Market Capitalization
• Social Subsidy (the overall cost of harm to society in 2021)
• Cost of Environmental Damage ($bn)
• Cost of Anti-Competitive Practices ($bn)
• Cost of Adverse Working Conditions ($bn)
• Cost of Tax Avoidance ($bn)
• Social Subsidy per $1 Revenue
• Ranking by universe, sector and region

Our data can be used:
a) Portfolio Management. As part of your ethical investment process, to exclude companies that are causing large harm on society
b) Equity Index Creation. As the basis of ethical equity indices
c) Equity ETF Creation. As the basis of ethical exchange traded funds
d) Activism. Identifying targets to deploy activist strategies to pressure companies to change approach

Data is compiled by our proprietary data gathering and AI platform for each of the 4,500 companies we track. We go beyond conventional ESG reporting to conduct real-time surveillance on corporate activities, customer experience, employee experience, and tax/legal structuring

1. Social Subsidy goes beyond conventional ESG and financial disclosures to using a proprietary data gathering and AI platform to conduct real-time surveillance on the 4,500 companies we track.
2. Social Subsidy does not use arbitrary scoring and weighting to assess the overall quality of a business, we instead calculate the actual US Dollar amount of harm inflicted by companies through environmental damage, anti-competitive practices, adverse working conditions and tax avoidance.
3. Social Subsidy does not focus exclusively on environmental damage as the main harm corporations do, but instead assess a much broader range of actions that harm customers, employees and broader society.