Preqin ESG Solutions 50 Data update Private Company ESG Risk Metrics relies on third-party, public, and public markets disclosure data. Our process for updating process these is an action tree: • Every time a new private company is featured on Preqin Pro, with a known employee count and a speci昀椀ed headquarters location, it is instantly assigned estimates of carbon emissions, water withdrawals, net employee growth and net employee volatility. • The employee count data is refreshed every month, as soon as it becomes available. Estimates of company metrics are updated accordingly. • Every year we refresh the public data sourced from the World Bank and the voluntary disclosures data provided by CDP. The former is necessary to evaluate country adjustments for carbon and water e昀케ciencies. The public market data enables us to re-evaluate the relationship between observable public companies and our metrics. After each update we re-train our models, then update all estimates. 13 Economic term “positive externality” describes the situation in which the consumption or production of a good or service causes a bene昀椀t to a third party (such as society or environment) not directly involved in the market transaction. 14 Delivered by Global Impact Investing Network (GIIN). 15 Natural Language Processing is the application of computational techniques to the analysis and synthesis of natural language and speech. ↗ Back to Contents