Auquan was named to the second annual edition of the ESGFinTech100, which was released today by FinTech Global, a FinTech news, insights and analysis specialist. The list highlights innovative technology solutions that are helping financial services address climate risk, sustainability, social responsibility, and governance challenges.
Why Auquan was selected for the ESGFinTech100
Auquan’s SaaS-based Intelligence Engine™ is powered by retrieval augmented generation (RAG) AI to help customers extract intelligence from the world’s unstructured data to power business due diligence, research, compliance, and risk monitoring.
Financial institutions are increasingly under pressure to embrace sustainability targets as governments worldwide are implementing more ESG-related regulations, and more customers prefer to invest in or lend to companies that align with their values. Professionals in the finance industry spend significant amounts of time manually sorting through massive volumes of textual information in the industry to gather risk intelligence and ESG performance information on private and public companies.
Auquan changes this by continuously collecting data from more than two million sources globally and surfaces relevant insights automatically, enabling finance and ESG teams to shift their focus to high level analysis and making strategic decisions faster. Leading asset managers, investment banks, and private equity funds in the U.S. and Europe have already embraced Auquan.
Using retrieval augmented generation (RAG AI) for ESG intelligence
The Auquan Intelligence Engine is the only solution for financial services that leverages RAG AI, a cutting-edge AI technique pioneered by Meta that is designed to handle the kinds of knowledge-intensive tasks that financial services demand. RAG AI combines the power of AI-driven information retrieval systems and generative AI to bridge the gap between static knowledge of large language models (LLMs) and the need for dynamic, context-aware generation in financial services.
Generative AI tools have had limited utility in the financial services industry so far because they lack access to up-to-date information and frequently hallucinate. The retrieval component of RAG AI makes it capable of accessing real-time updates to information pertinent to specific use cases, and the generative component can be customized to generate responses only from specific, credible information. The result is enterprise-ready output that is comprehensive, trustworthy, and accurate.
The ESGFinTech100: the innovators that every financial institution should know about
The ESG FinTech sector had a 46% growth in deal activity in 2022 compared to the previous year, and a survey of UK banking leaders found that 76% of them are using digital transformation initiatives to achieve sustainable outcomes.
For this list, Industry experts and analysts reviewed profiles of 500 ESG tech companies using data from FinTech Global. They selected tech providers based on their innovative use of technology to solve industry problems or improve ESG and sustainability for customers or clients.
“With the impending deadline of ESRS and many other ESG regulations currently in the works around the world, it is clear that ESG is not a passing phase. Pressures are only going to increase for financial institutions, and greenwashing will bring financial and reputational damage. The ESGFinTech100 roster helps senior management to identify the ESG tech companies that are leading the pack. The detailed company profiles provide insights into how solutions work, the problems they solve, operational regions and much more. This is an essential guide for any firm committed to meet net zero targets.”
— Richard Sachar, Director of FinTech Global