ESG Archive

Aug 23, 2019
Shift from shareholder value to stakeholder-focused model for top US firms
In a major corporate shift, shareholder value is no longer the main objective of the US’ top company CEOs, according to the Business Roundtable, which instead emphasizes the ‘purpose of a corporation’ and a stakeholder-focused model. The influential body – a group of chief executive officers from major US corporations – has stressed the idea of a corporation dropping the age-old notion that corporations function first and foremost to serve their shareholde...
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Aug 13, 2019
What makes an ESG investment is becoming unclear, warns Morningstar
As sustainable investment across Europe continues to grow, investors face a major problem in the form of unclear information about just how investments are adopting ESG metrics, according to a new report published by data and research group Morningstar. In its report: ‘European Sustainable Funds Landscape,’ it identified 2,232 sustainable funds in Europe that state they use ESG criteria or pursue a sustainability-related theme alongside financial return. ...
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Jul 30, 2019
Investors discuss future of ESG engagement at Sustainable Finance Forum
In mid-June, the University of Oxford and the Rothschild Foundation sponsored the 8th Sustainable Finance Forum, an invitation-only, limited attendance, event. The forum aimed to identify ESG-related initiatives, be a networking and idea-sharing platform, showcase new initiatives and technologies to advance environmentalism, and discuss real issues surrounding issuer engagement. The Chatham House rule applied so key takeaways are highlighted without attribution....
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Jul 30, 2019
ADX issues groundbreaking set of ESG disclosure guidelines
The Abu Dhabi Securities Exchange (ADX) has issued a landmark set of ESG disclosure guidelines for listed companies on the bourse. The launch of the 31 KPIs is part of the ADX strategy to boost economic growth while providing a sustainable trading environment and encouraging the market to adopt societal sustainability practices. The standards aim to radically enhance ADX’s competitiveness and attract more responsible investments to the Emirate in line with ...
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Jul 24, 2019
Number of US companies appointing women to board more than doubles in a year
The number of companies appointing a woman to their board in the US has more than doubled to 85 since July 2018, thanks to a campaign by the Thirty Percent Coalition’s institutional investor members that engaged 250 companies in the past year. The coalition – whose campaign was called Adopt a Company and which represents more than a whopping $5 tn in assets under management – and the 85 companies appointing a woman to their board for the first time have clocke...
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Jul 15, 2019
The mainstream advancement of sustainable investing
Attempting to get to the bottom of – and explore further – a much-discussed issue, David Blood, co-founder and senior partner at Generation Investment Management, was asked at the recent Bloomberg Sustainable Business Summit in London: what is sustainable investing? ‘Part of the challenge of developing a sustainable investing philosophy is that there are a number of acronyms and terms people do not fully understand,’ Blood said. ‘So the way we think...
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Jul 10, 2019
Boosting equality via index inclusion
Many approaches are taken to measure diversity and equality but the benefits of being on an index – in this case, the Bloomberg Gender-Equality Index (GEI) – were explored at the recent Bloomberg Sustainable Business Summit in London. The index uses a number of detailed metrics related to a company’s approach to gender equality, such as whether there are women on the board or in the CEO role, as well as wider company gender statistics, benefits, gender-conscio...
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Jul 08, 2019
Stewardship, voting and corporate scandal: Governance in Japan
The introduction of both a Stewardship Code in 2014 and a Corporate Governance Code a year later in Japan has pushed investors to focus more on the governance standards of the companies they’re invested in and forced companies to make changes – particularly when it comes to appointing independent directors to the board.  But accusations of box-ticking remai...
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