Investment Analyses –
Total System Services, Inc.
Overview
Total System Services, Inc. was originally founded in 1982 and is based out of Columbus, Georgia.
Total Systems Services provides electronic payment processing services to banks and other
financial institutions in the United States, Europe, Canada, Mexico, and internationally. It operates
through four segments: North America Services, International Services, Merchant Services, and
NetSpend (Yahoo! Finance).
Industry Outlook
This industry is expected to grow by about 20.51% in the next five years. This is due to its
interconnectedness in the financial and banking industries.
Ticker
Market
$98,921.00
Value of
Investment
Investment Student Fixed
Group
Income
Management
Industry
ESG Related Issues
TSS
Commercial
Services and
Supplies
B
The key issues within the Software and Services Industry and for companies like Total System
IVA Rating
Services are privacy and data breach controversies according to the MSCI industry report.
According to MSCI’s Intangible Value Assessment (IVA) on TSS, energy efficiency and human
capital development are the highest ranked of their ESG concerns. TSS has minimal initiatives on
plans to curb energy related costs. As of right now, their energy costs are low, but they will continue to rise as data centers and
traffic expands (IVA).
Due to the nature of work required, TSS needs a highly skilled workforce. However, the company has recently been lagging behind
its industry peers when it comes to employee benefits and engagement programs. It was given a score of 1.3 and the industry
average is 3.3.
The ESG concern that that of privacy and security. TSS has a heightened exposure to risks associated with data protection issues. Its
security enforcement practices trail the industry leaders. Even though TSS handles substantial quantities of sensitive information, it
doesn’t appear as though the company has taken any steps to ensure the installation of comprehensive data privacy systems. It was
given a score of 1.1 and the industry average is 4.3.
-
Matthew Smalls for the Sustainable Investing Advisory Committee
September 2015
References
Total System Services, INC. (TSS) (2015). Profile, business summary. Yahoo!Finance. Retrieved
from http://finance.yahoo.com/q/pr?s=TSS+Profile
MSCI Intangible Value Assessment (2015, May), Total System Services, Inc. Retrieved from
www.esgoncampus.msci.com