Socially Impact Investing

ESG Initiatives in the Steel Sector

Steel is one of the most sustainable materials in the world; however, decarbonizing remains a challenge because the steel industry is accounting for approximately 8% of total greenhouse gas (GHG) emissions. Investors are supporting the efforts to limit global warming to well below 2°C above pre-industrial levels in order to deliver the goals of the Paris […]

Advertisement

Investment in Carbon Capture and Storage

Although carbon emissions occupy a relatively small space on the spectrum of environmental, social and governance issues, as more and more countries and companies commit to Net Zero, they are steadily gaining attention from investors. Companies have relied on offsets to help avoid or reduce emissions for decades. Long associated with the “cap and trade” […]

Climate-Focused Portfolio Approaches

Investors gain confidence that an equity or corporate bond portfolio is invested in companies that are helping to address climate risk. To support a transition to a net-zero carbon economy, climate-aware investors monitor the carbon impact of the companies in their portfolios. However, climate issues are complex. A purely quantitative-driven process that rewards companies with […]

ESG Ratings and Methodology

The interest in ESG investing creates greater demand for ESG data, ratings, rankings, and methodologies (Abhayawansa & Tyagi, 2021). Different ESG ratings, rankings, and methodologies produce significantly different assessments of the ESG performance of companies (Abhayawansa & Tyagi, 2021). A lack of transparency about the data sources, weightings, and methodologies can also make it difficult […]

SRI and ESG: Ratings, Methodologies, and Performance

Socially responsible investing (SRI) is a well-worn term that grew in prominence during the 1980s and 1990s, but its roots trace back two millennia, shaped by civil-rights-era thinkers, faith-based organizations, and women (Townsend, 2020). The modern SRI process stands on three pillars: (a) values-based avoidance screens; (b) proactive sustainability-focused analytics, i.e., the environmental, social, and […]