Comparison of the Current Status of ESG Rating Systems

China School of Banking and Finance, University of International Business and Economics, Beijing, China

^* Corresponding author: 202302114@uibe.edu.cn

Abstract

With the rapid development of ESG investment, the importance of its rating system has become increasingly prominent. However, the standards of over 600 rating agencies worldwide were not unified, affecting the accurate measurement and comparison of corporate ESG performance. This paper systematically summarizes the compilation methodologies of mainstream ESG rating systems such as MSCI, CGGI, and Huazheng, and conducts a comparative analysis from the perspectives of domestic and international rating systems, focus orientation, and application of rating systems. The study finds that international mainstream rating systems exhibit significant first-mover advantages, and although domestic breakthroughs were made in localization adaptation, further improvements are still needed. There are significant paradigm differences in the orientation of different evaluation systems, and different rating systems vary in terms of the number of participating enterprises, industry, and ownership distribution. Based on this, the paper proposes development suggestions such as constructing a scientific and authoritative rating system, improving information disclosure standards, and promoting the exploration of rating system applications. The aim is to provide references for researchers, enterprises, and investors, and to help standardize and unify rating standards.