Morningstar Publishes Fourth Annual Corporate Sustainability Report

Morningstar, Inc. (Nasdaq: MORN), a leading provider of independent investment insights, today published its fourth annual Corporate Sustainability Report, examining the company’s efforts to incorporate sustainability practices and environmental, social, and governance (ESG) data across the firm.

“At Morningstar, we believe promoting transparency, increasing access to useful data, and empowering choice will support successful outcomes for investors,” said Kunal Kapoor, chief executive officer at Morningstar. “This report is one example that shows our company values aren't just words on a page; they guide our actions, both big decisions and daily habits across the entire firm, with the goal of growing value through these actions over time.”

Morningstar continues to lead in advancing its global pay equity program.

• Morningstar’s 2023 adjusted pay equity examination resulted in pay changes for a similar number of employees compared with the 2022 study; however, the amount spent to remediate impacted employees decreased by 40%.
• Also in 2023, Morningstar made pay ranges visible for roles across North America. In early 2024, each employee’s pay range for their role was made available globally.
• As one of few US-based financial services firms to disclose global pay gap data, Morningstar was awarded the Fair Pay Certificate by Fair Pay Workplace for its continued commitment to pay transparency and pay equity.

The Company advanced its environmental impact management program and associated disclosures included in the Corporate Sustainability Report.

• Using its own Low Carbon Transition Ratings and Physical Climate Risk Metrics, Morningstar analyzed the company’s carbon exposure and physical climate risks to assess its alignment with a net-zero pathway and evaluate potential risks to properties and assets, respectively. These solutions seek to empower investors to make informed investment decisions.
• Morningstar expanded emissions disclosures to detail emerging areas of strategic priority and provided investors and stakeholders with more data on its efforts. Morningstar now discloses Scope 2 location- and market-based emissions and for the first time, reports waste and water consumption data.
• Morningstar published an Environmental Statement detailing its environmental management practices, expectations, and how it plans to advance impact reduction efforts in a manner consistent with the company goals.
• Morningstar is an active member in the Net-Zero Data Public Utility (NZDPU), the first free, global, centralized database of private sector climate data, which went live in 2023.

“Our approach to sustainability strategy and management is guided by Morningstar’s long-standing commitment to transparency,” said Gabriel Presler, head of corporate sustainability at Morningstar. “This year we continued to focus on human capital management, one of Morningstar’s most material ESG topics, and advanced on our decarbonization goals. We are committed to making year-over-year progress in our efforts to build a more sustainable business and workplace by turning our own ESG data and research lens on ourselves.”