ChiSquareSustainability

Environmental, social and governance (ESG) is the criteria that is becoming of increasing interest to companies, their investors, and other stakeholders. It’s presence in business has been around since the 1980s, with the evolution of sustainable and environmental focused strategy and regulatory frameworks, being identified as Environmental, Health and Safety (EHS); to Corporate Sustainability; to Corporate Social Responsibility (CSR) over the years. By 2020 ESG was the preferred and proactive movement for impactful change in organisations.

The core criteria are becoming central factors that measure the ethical impact and sustainability of investment in a company. ESG is being used to find a balance between financial returns, social interests and the environment without losing the balance between them. There is strong reason to believe that the balance of these interests leads to better results for both the organisation and society. With changing attitudes, new regulations being introduced as well as more investment, there is now a demand for professionals with experience in these sectors.

Sustainable Finance is the process of taking ESG criteria into consideration when building any form of financial service for investment, banking and capital markets, insurance etc. These business and investment decisions are being made to make a lasting impact of businesses and society. With dedicated Sustainable Finance teams being formed in multinational corporations and even in smaller boutiques, we are seeing growth in this space for specialised professionals.