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The New Algorithm

Reference number
Coordinator Krecer kreditinformation AB - ALDC Partnership/Norrsken House
Funding from Vinnova SEK 500 000
Project duration April 2018 - January 2019
Status Completed
Venture Challenge-Driven Innovation – Stage 1 initiation

Purpose and goal

A consolidated assessment financial rating model, weighting sustainability and ethics in financial risk governance measurements contributing for solutions for agenda 2030/UN 17 SDG. The New Algorithm consolidates financial and ESG information. It is a purpose-driven model that shifts consciousness towards sustainable investments and credit risk evaluation. The aim is to replace the current market steering systems minimising hidden risks and negative externalities accounting for costs, financial, environmental and human, that we are encountering alongside our evolution.

Expected results and effects

Today just a fraction of environmental and social aspects are included in financial assessment leading to misdirected resources from agenda 2030´s goals. This misalignment in investments and distribution of capital leads to incorrect prioritization and misallocation of industrial and national agenda for sustainability. The long term results of the project initiative is a tool that includes scientific measurements for financial assessment in a transparent, independent and scientifically weighted model to contribute to sustainable development priorities in the market.

Planned approach and implementation

A new financial rating model based on modern material, traceable and integrity data gathering ESG aspects, as an improvement in policies and business usage of natural resources and contribution to social development and engagement, reflected in the logic of business and capital allocation priorities. The New Algorithm will serve financial markets, companies, investors, users and the public sector with transparent assessment, rating companies, financial instruments and institutions, weighting sustainability, ethics, governance and financial aspects to contribute to UN SDG.

External links

The project description has been provided by the project members themselves and the text has not been looked at by our editors.

Last updated 14 January 2019

Reference number 2018-00377

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