At COP15 a number of optimistic, exciting announcements were made – not least that the global economy could increase by more than $140-trillion a year.
More and more, our ability to understand environmental and social impacts on assets and the growing importance of these factors to all stakeholders, allows investors to better price this risk and place an appropriate premium on it.
When talking and assessing ESG, one must break it down to its subcomponents to fully understand the holistic objective of addressing Governance, Social and Environmental issues.
While consumers concerned about their impact on the planet are more likely to support companies with sustainable goals, investors are increasingly demanding that the companies they back meet environmental, social, and governance (ESG) standards too.
Currently, there’s no global mandated framework for how companies report ESG (Environmental, Social and Governance) progress, so it’s an optimal time to assess ESG progress and potential. Companies that move on ESG efforts now can start to tell their story to investors, employees and communities, engendering goodwill and paving the way for future opportunities.