Globally, the significance of sustainability is increasing, especially since the recent pandemic brought social issues, as well as environmental challenges and effects. In order to succeed, financial markets are increasingly focusing on Environmental, Social, and Governance (ESG Services).
Regulators, asset owners, investors, and businesses are increasingly putting sustainability at the center of their operations and incorporating ESG factors into their processes.
Financial regulators continue to focus on climate change and the potential risk it poses to financial stability, whilst stakeholder scrutiny of environmental and social issues, throughout value chains, continues to grow. Pressure on corporates and financial institutions to demonstrate how they plan to achieve stated net-zero targets, and support social justice objectives, is intensifying.
Metrics and reporting on environmental, social, and governance issues are quickly becoming commercial requirements. Companies are under new pressure to measure, disclose, and improve on ESG-related concerns across three distinct areas as a result of increased investor scrutiny, shifts in consumer and customer expectations, and likely governmental policy change requirements.
- Environmental: Carbon emissions, water and waste management, raw material sourcing, climate change vulnerability
- Social: Diversity, equity and inclusion, labor management, data privacy and security, community relations
- Governance: Board governance, business ethics, intellectual property protection
ESG reporting and disclosures assist companies in gaining access to financial markets and maintaining their operating license.
Investors consider companies with strong ESG performance differently than corporations whose environmental or other policies may constitute a larger financial risk. Robust sustainability and ESG strategies increase business strength and greatly increase the overall performance of the company.
With our ESG Services, businesses can efficiently navigate through the ESG world.