IFRS Sustainability licensing FAQs

Asset managers, asset owners, data and research firms and corporate reporting software providers can use IFRS Sustainability Disclosure Standards (IFRS S1 and IFRS S2), SASB Standards and/or the Sustainable Industry Classification System® (SICS®) to focus their processes and products on the ESG information that matters to investors.

We offer licensing opportunities to help organisations secure the rights to incorporate IFRS S1, IFRS S2 and/or SASB Standards into their systems, products or services. To learn more, contact us at [email protected].

Answers to common questions below will help with some of the basic elements of understanding licensing, and any additional questions can be directed to [email protected].

Questions from companies

I work for a company that is interested in disclosing consistent with IFRS S1, IFRS S2 and/or the SASB Standard. Is a license required?

IFRS S1, IFRS S2 and the SASB Standards are free for non-commercial use, such as corporate disclosure.

Do you collect data and metrics from companies reporting using the IFRS S1, IFRS S2 and SASB Standards?

There is no obligation for companies to report their IFRS Sustainability-aligned disclosures to IFRS Sustainability technical staff, as this information is designed to be in the public domain. For licensees interested in a list of companies making disclosures consistent with IFRS S1, IFRS S2 and SASB Standards, please see our list of reporting companies.

Questions from consultants

What is the difference between licensing IFRS S1, IFRS S2 and the SASB Standards and the Consultant Content Programme?

Licensing IFRS S1, IFRS S2 and the SASB Standards grants organisations the rights and permissions to integrate this content into their systems, products and/or services. Current licensees include asset managers, data and analytics firms and software providers.

The SASB Standards Consultant Content Programme offers the following content resources to help corporate sustainability consultants inform their clients:

Two exclusive update briefings per year to access emerging information about use of SASB Standards
Updated SASB Standards slide decks explaining the SASB Standards and where they fit in the broader ESG ecosystem
A listing in the SASB Standards Consultant Content Programme directory
Use of the SASB Standards Consultant Content Programme logo

For more information about the Consultant Content Programme, please contact us at https://sasb.org/contact/.

Questions about commercial use

I want to use IFRS S1, IFRS S2 and the SASB Standards commercially. How do I get the appropriate rights and permissions?

Please email [email protected] and we will get back to you quickly to explore your interest.

How is commercial use of IFRS S1, IFRS S2 and the SASB Standards defined?

Commercial use of IFRS S1, IFRS S2, the SASB Standards and related IP is permissible when a licensing agreement is in place with the IFRS Foundation. Commercial use of this content in the absence of such an agreement violates the copyright protections of IFRS Foundation Intellectual Property.

Examples of non-commercial and commercial use are included below:

Non-commercial use:

Using the Standards for your industry (or industries) to collect data and report your organisation’s performance internally or externally
Consulting the Materiality Finder to learn about SASB Standards
Using IFRS S1, IFRS S2 and the SASB Standards for engagement with portfolio companies
Using IFRS S1, IFRS S2 and the SASB Standards for manager selection and/or evaluation (limited to asset owners)
Referencing IFRS S1, IFRS S2 and the SASB Standards in proxy voting guidelines or investment policies
Publishing an article or non-commercial content that includes limited content from IFRS S1, IFRS S2, the SASB Standards or other IFRS sustainability resources

Commercial use:

Incorporating the Materiality Map™ (or a substantial reproduction of the Materiality Map™) into an internal research database
Using IFRS S1, IFRS S2 and the SASB Standards (or a substantial reproduction of these Standards) to rate or evaluate companies
Mapping IFRS S1, IFRS S2, the SASB Standards or the Materiality Map™ to a third-party data vendor and/or ESG ratings vendor
Incorporating IFRS S1, IFRS S2 and the SASB Standards into investible products, ratings products or products offering ESG data
Incorporating IFRS S1, IFRS S2 and the SASB Standards into research reports or analytics platforms
Using IFRS S1, IFRS S2 and the SASB Standards for manager selection and/or evaluation in an investment process on behalf of fee-paying clients
Using IFRS S1, IFRS S2 and the SASB Standards in a consultative or advisory basis

Questions about content

What IFRS Sustainability Intellectual Property is available to license?

The content available to license includes:

IFRS S1 General Requirements for Disclosure of Sustainability-related Financial Information at different levels of granularity to best suit your organisation’s needs
IFRS S2 Climate-related Disclosures at different levels of granularity to best suit your organisation’s needs
The SASB Standards (and Materiality Map™) at different levels of granularity to best suit your organisation’s needs
Mappings to third-party frameworks and data providers such as the Sustainable Development Goals and third-party raters and rankers such as (MSCI, Sustainalytics and others).
A database of 90,000+ public entity ISINs mapped to their respective industry within the Sustainable Industry Classification System® (SICS®)
SASB Standards disclosure topics and the corresponding impact on financial drivers
SASB Standards disclosure topics and the corresponding climate risks from the TCFD and the SASB Climate Risk Technical Bulletin
SASB Standards corporate engagement questions for all 77 SICS® industries
SASB Standards disclosure topics and the corresponding industry working group (IWG) materiality ratings

How often is the licensing content for IFRS S1, IFRS S2 and SASB Standards updated?

IFRS S1, IFRS S2, the SASB Standards, evidence behind the Standards, the Sustainable Industry Classification System® (SICS®) and links to third-party data sets are updated periodically as standard-setting projects conclude or as third parties evolve their methodologies. All licensees will be provided with resources to account for any changes to ensure seamless updates and integration. Technical staff update the database of 90,000+ public entity ISINs mapped to their respective SICS® industry on a quarterly basis. These updates will be delivered by the 15th day of each new quarter.

Are the SASB Standards and ISSB Standards available in an excel file?

Yes, and they can be accessed through a formal licensing agreement. If you would like access to and the rights to use this content in your commercial activities, please email [email protected].

Questions from non-commercial users

Can I use IFRS S1, IFRS S2 and the SASB Standards in academic research? If so, how do I proceed?

No-cost academic licenses are available. For requests, please contact [email protected] with details about your research so we can identify the tools to best support your work.

Can I make references to IFRS S1, IFRS S2 and SASB Standards content in written materials such as reports, presentations or other publications?

Yes, IFRS S1, IFRS S2 and SASB Standards content can be referenced in articles, reports and other educational publications. Please email [email protected] and describe your considered use to get started and receive appropriate permissions.

Common questions

Do you provide ESG ratings?

No. The SASB Foundation was, and the IFRS Foundation is, an independent standard setter. We do not assess individual companies on their performance on ESG issues. If you’d like to learn more about how IFRS S1, IFRS S2 and the SASB Standards are used by ESG rating and ranking organisations, email [email protected].

In generating a unique ESG score for listed companies, R-Factor™ leverages SASB Standards—which are focused on the subset of ESG factors most likely to have material financial impacts on a company in a given industry—to screen performance data from multiple sources.

What is your role in ESG indexes?

Because indexes and the funds that track them represent an important opportunity for investors to allocate capital in alignment with the SASB Standards industry-based approach to ESG investing, the IFRS Foundation licenses SASB Standards for the creation of indexes and investible products. We approach these agreements with a few guiding principles:

The IFRS Foundation contributes the industry-based SASB Standards but does not rate company performance on the standards. Rating, ranking, and scoring is the role of licensees.
We work with multiple providers, each of which makes its own judgments about applying the Standards in investment decisions.
We encourage licensees to build products based on company performance—not transparency alone.

What ESG indexes use SASB Standards?

The Bloomberg SASB ESG index family was launched in September 2019. The Bloomberg SASB ESG index family incorporates R-Factor™, an ESG scoring system developed by State Street Global Advisors. In generating a unique ESG score for listed companies, R-Factor™ leverages SASB standards—which are focused on the subset of ESG factors most likely to have material financial impacts on a company in a given industry—to screen performance data from multiple sources. This ensures R-Factor scores are driven by the ESG factors most important to investors.

There are a range of other indices powered by SASB Standards in various stages of planning and development. One other example in the market today is ET Research’s Engaged Tracking Low Carbon Index Series, the only low-carbon index series on the market that is based on a public, transparent carbon ranking of each constituent company.

Does the IFRS Foundation have a role in scoring companies?

No. Third-party providers license the SASB Standards for use in scoring. As an example, the Bloomberg SASB ESG index family incorporates R-Factor™, an ESG scoring system developed by State Street Global Advisors. In generating a unique ESG score for listed companies, R-Factor™ leverages SASB Standards—which are focused on the subset of ESG factors most likely to have material financial impacts on a company in a given industry—to screen performance data from multiple sources. This ensures R-Factor scores are driven by the ESG factors most important to investors.