Glass Lewis and Clarity AI combine, with a new sustainability and AI centre in Madrid

The story so far, in brief; the legwork, and the full article, stay with the original outlet.

Glass Lewis, the California-based proxy adviser that serves more than 1,300 investment managers and pension funds, announced on Thursday that it is combining with Clarity AI, a sustainability data and analytics provider founded in 2017. The joint business will set up a global centre for sustainability, data and AI work in Madrid. Chief executive Bob Mann said the choice "speaks volumes about the strategic importance of the European market."

Glass Lewis's strength is in the US, while Clarity AI's clients are mostly European. In the US, proxy advisers face political pressure at both federal and state level, and JPMorgan and Wells Fargo are moving to lean less on them. Glass Lewis has already said it will stop giving clients a single voting recommendation. Europe, meanwhile, holds more than 80% of global sustainable fund assets, which makes it a reasonable place to build a sustainability business.