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The Secondaries Screening Brief

May 15, 2026
5 mins read
A Secondaries Team Guide to Exclusion Diligence at Speed

The secondaries market has tripled in size since 2019, now representing roughly $240 billion in annual volume. LP expectations around diligence - on exclusions, sanctions, mandate compliance, and reputational risk - have risen in lockstep. The window to screen a 300-company portfolio has not. For deal teams operating in an auction environment, the question is no longer how much to screen, but how to do it without becoming the reason a deal slips.

This brief distills key takeaways from a recent SESAMm webinar with Jessica Huang, Managing Director and ESG Lead for Private Equity and Secondaries at Ares Management, a firm managing over $40 billion in secondaries assets across four verticals.

It covers how screening requirements differ by transaction type, what investors are actually screening for, why private market data makes this hard, and what a workflow looks like that can realistically fit inside a 48-hour timeline.

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As sustainability expectations rise, so does scrutiny. This ebook explores how industries are performing against the UNGC’s Ten Principles—and where risks are being overlooked.
Backed by SESAMm’s AI-powered UNGC violations screening, it offers a data-backed view into ESG alignment and accountability.

What You'll Learn:

  • Commitment doesn’t always mean compliance: Public alignment with the UNGC is there, but our data reveals persistent ESG risks that often go unaddressed.
  • Certain sectors face heightened exposure: The technology, finance, and automotive industries consistently rank among those most frequently linked to potential breaches.
  • The enforcement gap is widening: A clear disconnect exists between alleged violations and actual accountability, emphasizing the need for real-time monitoring and stronger ESG oversight.

In our recent webinar with WeeFin, "Addressing Core Challenges in ESG Data Management," CEOs Sylvain Forté and Gregoire Hug discussed both the fast-evolving ESG landscape and how managing complex data is more critical than ever.

Watch this webinar to learn how to:

  • Manage the lack of standardization and the inconsistency in ESG data.
  • Address data quality issues and missing data.
  • Implement a dedicated ESG data management system to balance flexibility and standardization for meaningful reports.

Fill out the form to access the webinar replay now!

Webinar Replay: Addressing Core Challenges in ESG Data Management

In our latest webinar with the European Association for Sustainable Rating Agencies (EASRA), “ESG Ratings in 2025: Emerging Trends and Evolving Standards,” SESAMm’s CEO, Sylvain Forté, Julia Haake, Head of ESG Rating Agency at Ethifinance, Diana van Maasdijk, CEO at Equileap, Saurabh Srivastava, Head of Sustainability Data and Ratings at Inrate, and Emmanuel de la Ville, Founder of Ethifinance, sat down and discussed the future of ESG ratings and what’s next for all parties involved.

Key Takeaways:

  • Keep up with the latest regulatory updates.
  • Explore the newest AI innovations reshaping ESG ratings.
  • Gain a deeper understanding of the political climate and emerging trends affecting ESG.

Fill out the form to access the webinar replay now!

A few months ago, Sylvain Forté, CEO of SESAMm, and Julia Haake, Head of ESG Ratings Agency at Ethifinance, sat down and dove deeper into how AI and new regulatory standards are reshaping the future of ESG ratings for rating providers.
Download the ebook and have an insider’s view into their thoughts on ESG regulations for rating agencies, the challenges they face, and the possible solutions.

What You'll Learn:

  • Upcoming ESG Regulations for Rating Providers
  • ESG Data Availability and Key Challenges
  • AI Applications in ESG Ratings
  • CSRD and ISSB: Impacts on Data Standardization

Watch the replay of our webinar, "CSDDD Demystified: A Practical Guide for Corporate Sustainability," to gain the actionable insights your business needs to navigate the complexities of the Corporate Sustainability Due Diligence Directive (CSDDD).

In this session, Kevin Ozadanir, Head of Corporate Sales at SESAMm, and Greta Koch, Technical Negotiator for the European People’s Party on the CSDDD, break down the directive's objectives and provide practical guidance for companies tackling compliance challenges. This is your opportunity to:

  • Understand the CSDDD's objectives and its role in strengthening the EU's sustainability agenda.
  • Learn how the directive compares to other regulations, such as the German Supply Chain Act, and what sets it apart.
  • Prepare for compliance by exploring strategies to integrate sustainable systems and address diverse regulatory expectations across the EU.
  • Get a blueprint for effective risk analysis and supply chain management tailored to companies operating across multiple jurisdictions.
  • Stay ahead of political developments, including the potential repeal of Germany's Supply Chain Act and what it means for global sustainability.

The webinar wraps up with a deep dive into integrating CSDDD with other frameworks, such as the EU Taxonomy and CSRD, and provides a clear roadmap for aligning your operations with evolving corporate sustainability standards.

Don't miss this chance to equip your team with the knowledge to tackle regulatory challenges with confidence. Fill out the form to access the webinar replay now!

In our latest webinar, "How AI is Transforming ESG Ratings Amid Regulatory Challenges," SESAMm’s CEO and Co-founder Sylvain Forté and Julia Haake, Head of ESG Rating Agency at EthiFinance explored how artificial intelligence is reshaping the way ESG ratings are developed in the face of increasing regulatory pressures. The session focused on AI's transformative role in improving the accuracy, transparency, and efficiency of ESG ratings while navigating the complex regulatory environment in the EU and UK.

Key Takeaways

  • Upcoming ESG Regulations: New EU and UK rules emphasize transparency in ESG rating methodologies and conflict of interest management, impacting how rating providers operate.
  • AI’s Role in ESG Ratings: AI is transforming ESG ratings by analyzing vast amounts of unstructured data, improving coverage, and enhancing accuracy for small and mid-sized companies.
  • Addressing ESG Data Gaps: AI enables more comprehensive data collection and helps fill gaps, especially in regions and industries with limited reporting.
  • CSRD and ISSB Frameworks: These new standards are driving data standardization in Europe, with AI helping organizations adapt to evolving regulatory requirements.

Access the full replay now!

In our recent webinar, "The Boeing Scandal: Can AI Predict ESG Controversies?" Sylvain Forté, SESAMm’s CEO and Co-founder, along with Emna Abid, Research and Analytics Team Lead, focused on the important role AI plays in detecting and predicting ESG controversies. They explored how AI provides early warning signals for potential crises, using Boeing’s well-known 737 Max scandal as a central example.

The webinar addressed the challenges businesses face when relying on traditional tools to monitor ESG risks. Traditional methods often struggle to capture early signals, particularly when dealing with unstructured data from local news, NGO reports, or social media. SESAMm’s AI solution overcomes this issue by continuously analyzing vast amounts of data in real time to identify red flags that may not be visible through conventional ESG tools.

Using Boeing’s 737 Max crisis as a case study, the webinar demonstrated how SESAMm's AI Solutions detected early warnings before the controversy escalated. The AI system flagged crucial information from whistleblower reports and localized sources well before the issues became major public scandals.

"ESG factors are no longer just secondary concerns. They are at the forefront of how this industry is perceived by the public, investors, and regulators." Emna Abid - Research & Analytics Team Lead, SESAMm

The webinar also touched on the broader aerospace industry, which has faced heightened scrutiny for its environmental and governance issues. The analysis revealed how AI can help companies in high-risk sectors stay ahead of controversies by providing real-time insights and helping them navigate the complex landscape of ESG compliance and public perception.

To sum up, AI is revolutionizing ESG risk detection, providing companies with the ability to identify early warning signs of potential controversies before they escalate into major crises. By analyzing vast amounts of unstructured data in real time, SESAMm’s AI platform helps organizations navigate complex ESG landscapes, particularly in high-risk industries like aerospace. This proactive approach enables businesses to protect their reputation, make more informed decisions, and ensure compliance with evolving ESG standards.

To explore these insights further, be sure to watch the full webinar replay.

Download the complimentary report for more insights.

Effectively managing environmental, social, and governance (ESG) risks is important, especially for private equity firms focusing on small or private companies. These firms often lack the detailed public data available for larger corporations, making it challenging to identify hidden ESG controversies that could impact investments. Traditional methods, heavily reliant on structured data and formal disclosures, often fall short when dealing with unstructured and fragmented information found in diverse sources like social media, local news, and niche industry reports. This is where Artificial Intelligence (AI) comes into play.

Our ebook, "The Boeing Scandal: Can AI Predict Controversies Before Traditional Tools?," explores the transformative role AI can play in enhancing ESG risk assessment processes. It explores the limitations of conventional methods and demonstrates how AI technologies, such as natural language processing (NLP) and machine learning, offer a more effective solution for identifying ESG risks. By analyzing vast amounts of unstructured data from various sources, AI gives firms access to the early detection of potential controversies, providing a more comprehensive and proactive approach to risk management.

A key highlight of the ebook is a detailed case study on Boeing, a major player in the aerospace industry. Through AI-driven analysis, we identified early signs of emerging controversies surrounding Boeing's safety practices and governance issues. The case study illustrates how AI can sift through complex data, uncover hidden patterns, and provide early warnings that allow stakeholders to act before these issues escalate into major crises.

The ebook outlines a step-by-step AI-driven process for ESG risk detection, from data collection and filtering to advanced sentiment analysis and actionable insights. This comprehensive guide empowers private equity firms to move beyond reactive strategies and adopt a proactive stance in ESG risk management.

Reach out to SESAMm

TextReveal’s web data analysis of over five million public and private companies is essential for keeping tabs on ESG investment risks. To learn more about how you can analyze web data or to request a demo, reach out to one of our representatives.

With all the buzz around Generative AI, it’s easy to forget that artificial intelligence (AI) has been driving innovation across industries for years. Environmental, Social, and Governance (ESG) and risk management are no different. However, at the rate AI is advancing and as the amount of raw data available for analysis continues to expand, the need to understand AI is more pressing than ever.

AI is transforming ESG, turning complex data into predictive insights and reshaping our approach to risk. But what does this mean for the industry, and how can professionals leverage this technology to maintain a competitive edge? The future of AI in ESG and risk management is not just a matter of technological advancement but a narrative of how we evolve with it.

This ebook dives into how AI works when applied to ESG, shares a few practical examples of what it looks like in real life, and offers a few predictions for what comes next.

Dive deeper into the mechanics of how AI works in ESG and equip your organization with the insights needed to enhance your ESG practices. Fill out the form below to access your copy.

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