8. Private Credit + ESG: Quantifying Non-Financial Risk through NLP

Sub-header: AI-based ESG scoring for private markets.

Mini Description: ESG data in private credit has long been inconsistent. This paper shows how NLP-driven semantic tagging can identify ESG language and map it to quantifiable risk factors — bridging compliance, risk, and sustainability metrics.

Highlights:

• NLP ESG model for mid-market borrowers
• Use case: covenant-based ESG tagging across 1,500 documents
• Impact: standardizes ESG scoring across private credit portfolios

Context: Joint analysis with sustainability consultants and institutional allocators.

Already shared with senior leaders at top private-credit platforms.