System and method for constructing optimized ESG investment portfolios
US11657454B2 · kind B2 · utility
Assignee
Inventors
Key dates
| Filing date | May 22, 2019 |
| Grant date | May 23, 2023 |
| Priority date | — |
| Expiry date | Sep 13, 2041 |
Classification
- Technology area (CPC G)Physics
- CPC primaryG06Q30/0282
- WIPO fieldIT methods for management
- WIPO sectorElectrical engineering
Abstract
A system for constructing an environmental, social and governance (ESG) optimized investment portfolio includes an ESG database, an alpha database, a user interface, and an ESG optimization engine. The ESG database includes ESG data for one or more investment products used to construct an investment portfolio. The alpha database includes alpha data for the one or more investment products used to construct the investment portfolio and the alpha data comprise rate of return data for the one or more investment products. The user interface is used for receiving a user's input for selecting an ESG optimization factor. The ESG optimization engine includes an ESG optimization application that receives alpha data for the one or more investment products of the investment portfolio, ESG data for the one or more investment products of the investment portfolio and the user's ESG optimization factor and calculates a combined alpha-ESG rate of return for the investment portfolio, a combined alpha-ESG factor for the investment portfolio and a covariance between the combined alpha-ESG factor and the combined alpha-ESG rate of return for the investment portfolio.
Source: USPTO / EPO open patent data. Objective bibliographic and citation counts.