Priced or agreed
Reflected in the price, a warranty or a condition of the deal.
Recorded with the evidence behind it.Software · investors and deals, cited
ESG due diligence software for investors and acquirers
ESG due diligence software helps an investor or acquirer check a target’s environmental, social and governance duties, data and risks, and carry what it finds into ownership.
Most of the checks rest on voluntary standards and a few on law; this page separates them, then lists 16 platforms built for financial institutions, in their own words.
What the software does
What does ESG due diligence software actually do? Five jobs, before and after the deal
ESG due diligence asks what a company’s environmental, social and governance position means for the investor: what it owes, what it has disclosed, and what could go wrong.
Software adds value by asking the same questions the same way across many targets, keeping the evidence, and passing the answers into ownership rather than leaving them in a data room.
This is different from a company’s own supply-chain process, covered on human rights due diligence software, and from buying ratings, covered on ESG risk software.
- 1
Screen
Sector, geography and activity: where the obvious risks sit.
- 2
Request
One questionnaire per target, the same way every time, with documents attached.
- 3
Assess
Statutory duties met or missed; data quality; red flags.
- 4
Agree
Findings into the deal: conditions, warranties, a first-year plan.
- 5
Carry forward
The target’s data into portfolio reporting and financed emissions.
The investor’s own exposure
Why does an investor need a record at all? Because its own claims must be true
The FCA’s anti-greenwashing rule, ESG 4.3.1R, applies to all authorised firms from 31 May 2024 and requires sustainability references to be consistent with the product and fair, clear and not misleading.
An investor that markets a fund or a portfolio on its sustainability characteristics needs evidence for those claims, and the due diligence file is where much of that evidence starts.
ESG ratings bought to support a decision are not yet regulated in the UK: the ESG Ratings Order 2025 is made law, but providing a rating becomes a regulated activity only from 29 June 2028.
Read the detailed guidance and references
The FCA consulted on its rules for ratings providers in CP25/34, which closed on 31 March 2026, and planned a policy statement with final rules in Q4 2026.
The EU’s ESG ratings regulation has applied since 2 July 2026, so ratings from providers operating in the EU now come with their own disclosure duties.
The labels and naming rules for funds are on the FCA SDR and anti-greenwashing rule.
What bites on the investorExplore
What bites on the investor
ESG 4.3.1R
Sustainability references must be consistent and fair, clear and not misleading.
What bites on the investor
All authorised firms
From 31 May 2024, whether or not they sell sustainability products.
What bites on the investor
UK ESG ratings
Regulated activity from 29 June 2028; final FCA rules planned Q4 2026.
The target’s duties
Which statutory duties does the target owe? Two tests on its figures
A UK target that supplies goods or services and has turnover of £36 million or more, counting subsidiaries, must publish a modern slavery statement under s.54.
A large EU target, or a group with large EU turnover, may fall inside the CSDDD from 26 July 2029, when the directive applies to every company in scope.
A listed UK target in UKLR 6, 14, 15, 16 or 22 reports against UK SRS on a comply-or-explain basis for periods beginning on or after 1 January 2027, under PS26/19.
The tool beside this runs the first two tests on a target’s figures, so the checklist starts from what the target actually owes.
Due diligence scope · two tests on your figures
| Test | Result on these figures |
|---|---|
| UK slavery and human trafficking statement (MSA 2015 s.54) | Required for each financial year |
| EU CSDDD size test for an EU company (from 26 July 2029) | Below at least one threshold |
The EU test is the EU-company limb only, and needs both figures in two consecutive years; a non-EU company is tested on turnover generated in the EU.
Sources: Modern Slavery Act 2015 s.54; SI 2015/1833 regs 2–3; Directive (EU) 2024/1760 Arts 2 and 37, as amended by Directive (EU) 2026/470. Nothing is stored or sent.
The standards
What do the international standards say about deals? That risk can be inherited
The commentary to Principle 17 of the UN Guiding Principles says human rights risks may be inherited through mergers or acquisitions, and that due diligence should start as early as possible.
The OECD Guidelines of 8 June 2023 define business relationships to include investee companies, and say they go beyond first-tier relationships.
Neither is UK legislation, but both are the standards most investors’ due diligence frameworks cite.
UNGPs endorsed
16 June 2011UN Human Rights CouncilOECD Guidelines
8 June 2023The current editionCSDDD applies
26 July 2029Every company in scopeCSDDD liability
National lawEU-wide regime removedDue diligence on a companyExplore
Due diligence on a company
Inherited risk
Human rights risks “may be inherited through mergers or acquisitions”.
Due diligence on a company
Start early
Risk can be increased or mitigated when contracts are structured.
Due diligence on a company
Beyond tier one
Relationships are not only contractual or immediate.
After the deal
What happens to the findings after closing? They become the first year’s plan
A finding
in due diligence
in due diligence
Carried into ownership
A first-year action, tracked in portfolio reporting.
The same data feeds financed emissions.The value of the work shows after closing, when the same questions become the portfolio company’s first-year plan and its data enters the investor’s own reporting.
Financial institutions usually measure portfolio emissions with PCAF, whose Part A standard is now in its third edition and covers ten asset classes, so the target’s emissions data is worth capturing in a usable form at the start.
For real-asset targets, investors often ask about GRESB, a voluntary benchmark, and for UK property the MEES rules are the legal check, as set out on real estate ESG software.
The financed-emissions side is covered on financed emissions software.
The vendors
Which platforms serve investors? 16 vendors built for financial institutions, in their own words
Every vendor this site files under financed emissions, alphabetically, which ranks nothing, each linked to its own site and its profile here.
The registry covers 73 vendors across all categories, read 11 October 2026 and 30 September–1 October 2026.
16 vendors · financed emissions
“Intelligent AI that measures, reduces, and reports Scope 1–3 and LCA emissions in line with CDP, SBTi, CSRD, and CBAM requirements”
“Our software provides companies and financial institutions with precise accounting of the emissions caused by making, shipping and using critical commodities and products around the globe”
“We support financial institutions, companies, governments, and consumers in making the right decisions - efficiently, confidently, and at scale”
“Dcycle is an ESG software platform founded in 2020 that helps companies collect, manage, and govern sustainability and non-financial data”
“Deepki centralizes your sustainability data, strategy and operations in one place so you can act on carbon, climate risk, and finance”
IBM describes Envizi as a “compliance ready solution for ESG data”.
“Measurabl makes subjective sustainability data objective”
Microsoft Sustainability Manager
“Track and reduce your environmental impact using data and AI”
“Novata is a sustainability data management platform built for private market investors, deal teams, banks, and companies that need a scalable way to collect, manage, and act on sustainability data”
“One digital solution for sustainability planning, data management, reporting, analysis and action - built for enterprise”
Persefoni describes software and AI tools to manage an organisation’s “sustainability data, disclosures, and performance”.
Position Green describes “a sustainability reporting and management platform that combines powerful software with expert advisory services”.
“Pulsora is an AI-powered sustainability and carbon management platform that automates data collection, measurement, and reporting workflows for sustainability teams”
“Unravel Carbon is the climate platform helping companies with global supply chains make data-driven decisions”
“Carbon accounting is often the first step companies take toward climate disclosure, compliance, and action—and with Watershed, it’s part of your complete enterprise sustainability platform”
“Worldfavor is a supply chain due diligence platform founded in Stockholm in 2016”
Alphabetical, which ranks nothing.
Each description is the vendor’s own words from its own site, read 11 October 2026 and 30 September–1 October 2026; prices appear only where the vendor publishes one.
No product here has been tested by this site.
Several of these platforms speak directly to investors, among them Novata, which describes “a sustainability data management platform built for private market investors, deal teams, banks, and companies”, and Clarity AI, which supports financial institutions in making decisions at scale.
16 vendors, own wordsExplore
16 vendors, own words
Filed under financed emissions
16 vendors in this site’s registry.
16 vendors, own words
Alphabetical
The order ranks nothing.
16 vendors, own words
Their own words
What each vendor says about itself, read 11 October 2026 and 30 September–1 October 2026.
16 vendors, own words
Deal workflow
Not recorded in the registry: ask whether it handles pre-deal questionnaires.
An investor can only say true things about a company’s sustainability if it checked them before it bought, and kept the record after.
That is the sentence to put to the investment committee.
Takeaways
ESG due diligence software, in five facts
| Fact | What it means for a tool |
|---|---|
| The FCA anti-greenwashing rule applies to all firms | Keep the evidence behind every sustainability claim. |
| UK ESG ratings are regulated from 29 June 2028 | Treat ratings as opinions until then; record which you used. |
| Human rights risks can be inherited in a deal | Ask the human rights questions before signing. |
| s.54 and the CSDDD turn on the target’s figures | Start the checklist from what the target owes. |
| PCAF Part A is in its third edition | Capture emissions data the portfolio can use. |
Next: run the scope test above on your next target, then read financed emissions software for what happens to its data after closing.
This site has tested no products
Nothing on this page is a rating, ranking or recommendation of any product.
Frequently asked
ESG due diligence software, answered
What is ESG due diligence software?
Software that helps an investor or acquirer gather and assess a target company’s environmental, social and governance information: its legal duties, its disclosures, its data and its risks, with a record of what was found and what was agreed.
The findings then carry into ownership and into the investor’s own reporting.
Is ESG due diligence required by law in the UK?
There is no general UK duty to carry out ESG due diligence on an acquisition or investment.
The legal drivers are indirect: FCA-authorised firms must keep their sustainability claims fair, clear and not misleading, and a target may owe its own duties, such as a modern slavery statement.
What is the FCA anti-greenwashing rule?
ESG 4.3.1R, which applies to all FCA-authorised firms from 31 May 2024.
It requires any reference to the sustainability characteristics of a product or service to be consistent with them and fair, clear and not misleading.
An investor’s due diligence is part of the evidence behind such claims.
Are ESG ratings regulated in the UK?
Not yet in practice.
The ESG Ratings Order 2025 is made law, but providing an ESG rating becomes a regulated activity only from 29 June 2028.
The FCA consulted in CP25/34 and planned final rules in a Q4 2026 policy statement.
The EU’s ESG ratings regulation has applied since 2 July 2026.
Do human rights risks transfer in an acquisition?
The UN Guiding Principles say human rights risks may be inherited through mergers or acquisitions, and that due diligence should start as early as possible, including when contracts are being structured.
They are not UK legislation, but they are the standard most due diligence frameworks follow.
Do the OECD Guidelines cover investors?
Yes.
The 2023 Guidelines define business relationships to include investee companies, and say those relationships reach beyond the first tier.
They are recommendations from governments, backed by National Contact Points.
Which statutory duties should I check in a UK target?
At least the modern slavery statement, if its turnover with subsidiaries is £36 million or more and it supplies goods or services; SECR in its directors’ report if it is large; and UK SRS disclosures on a comply-or-explain basis if it is a listed company in UKLR 6, 14, 15, 16 or 22 for periods from 1 January 2027.
Does the CSDDD matter for a UK investor?
It can, through an EU target or a large non-EU group trading in the EU.
It applies from 26 July 2029 to companies above 5,000 employees and €1.5bn turnover, and liability for failures is now a matter of national law, not an EU-wide regime.
How are a portfolio’s emissions measured after the deal?
Financial institutions usually follow PCAF, whose Part A standard is now in its third edition, published in December 2025, and covers ten asset classes.
Due diligence should capture the target’s own emissions data in a form PCAF can use.
What about real estate or infrastructure targets?
Investors often ask for GRESB.
It is a paid, voluntary benchmark that scores entities and ranks them by quintile; there is no such thing as GRESB certified.
For UK property, the MEES rules on EPCs are the legal check.
Can a spreadsheet do ESG due diligence?
For one deal, often yes.
Software earns its place when an investor runs many deals and portfolio companies, needs the same questions asked the same way each time, and must report across the portfolio afterwards.
Has this site tested any ESG due diligence software?
No. This page is built from the FCA Handbook, the ESG Ratings Order, the UNGPs, the OECD Guidelines, the CSDDD and UK statute, and the vendor list quotes only what each vendor says about itself.
Sources
Primary sources
Every statement on this page traces to the provision listed here.
Vendor descriptions are cited on each vendor’s profile to the vendor’s own page.
Checked against 16 sources fromFinancial Conduct Authoritylegislation.gov.ukEUR-LexOHCHROECDDepartment for Business and Trade
- Financial Conduct AuthorityFCA Handbook, ESG 4 — including the anti-greenwashing rule, ESG 4.3.1R
Applies to all authorised firms from 31 May 2024.
- legislation.gov.ukFSMA 2000 (Regulated Activities) (ESG Ratings) Order 2025, SI 2025/1349
Made law; providing an ESG rating is a regulated activity from 29 June 2028.
- Financial Conduct AuthorityCP25/34 — ESG ratings: proposed approach to regulation
Closed 31 March 2026; final rules planned in a Q4 2026 policy statement.
- EUR-LexRegulation (EU) 2024/3005 on ESG rating activities
Applies from 2 July 2026.
- OHCHRGuiding Principles on Business and Human Rights (PDF), Principle 17 and commentary
Human rights risks “may be inherited through mergers or acquisitions”.
- OECDOECD Guidelines for Multinational Enterprises on Responsible Business Conduct (8 June 2023)
Recommendations from governments to enterprises.
- OECDOECD Guidelines (2023), PDF, Commentary ¶¶15–17
Business relationships include investee companies.
- EUR-LexDirective (EU) 2024/1760 (CSDDD), consolidated 18 March 2026
Scope, the 2029 date and the removal of EU-wide civil liability.
- EUR-LexDirective (EU) 2026/470 (Omnibus I)
The 2026 amendments to the CSRD and CSDDD.
- legislation.gov.ukModern Slavery Act 2015, section 54
The statement duty a target may owe.
- legislation.gov.ukSI 2015/1833
The £36 million turnover threshold, including subsidiaries.
- Financial Conduct AuthorityPS26/19 — final rules on UK SRS reporting by listed companies
Comply or explain for periods beginning on or after 1 January 2027.
- Department for Business and TradeUK SRS S2 Climate-related Disclosures (PDF)
The climate disclosures a listed target may publish.
- PCAFThe Global GHG Accounting and Reporting Standard for the Financial Industry
Part A, third edition (December 2025), ten asset classes.
- GRESBAbout GRESB
The real-assets benchmark investors request.
- Financial Conduct AuthorityClimate change and sustainable finance: reporting requirements
The FCA’s overview of the rules.