ESG - stands for (Environmental Social and Governance) these are the three characteristics in any company that we should consider apart from normal financial metrics before investing .
There is growing evidence that suggests that ESG factors, when integrated into investment analysis and portfolio construction, may offer investors potential long-term performance advantages.
What factors fall under ESG and how are they related?
Environmental
Climate change
Greenhouse gas (GHG) emissions
Resource depletion
Waste and pollution
Water and energy efficiency
Deforestation
Biodiversity
Social
Working conditions
Equal opportunities
Human rights
Employee diversity
Health and safety
Child labor and slavery
Community engagement
Philanthropy
Governance
Business ethics
Executive pay
Board diversity and structure
Bribery and corruption
Political lobbying and donations
Tax strategy
Compliance
Where can we find ESG data?
Third- party databases such as Refinitiv, Bloomberg etc.
Extracting through company documents.
Gathering ESG factors in the news for a specific company.
