Uploaded on Aug 19, 2022
PPT on ESG is becoming essential to every investment strategy
ESG Is Becoming Essential To Every Investment Strategy.
ESG IS BECOMING ESSENTIAL
TO EVERY INVESTMENT
STRATEGY
WHAT IS ESG INVESTING?
Environment Social And
Governance or ESG is a form of
sustainable investing that
measures the impact of a
company’s ethical contribution to
its stakeholders.
SOURCE: economictimes.indiatimes.com
ABOUT ESG INVESTING?
ESG investing is based on the idea
that only pressure from large
investors can force the corporate
world to behave responsibly from a
social, environmental and
governance perspective.
SOURCE: economictimes.indiatimes.com
USE OF CLEAN ENERGY
Environment refers to the use of
clean energy, waste management,
and conservation of natural
resources. It includes protection of
animals. Companies that follow
energy harvesting by natural means
in development of its products, leads
to safety and preservation of our
natural resources.
SOURCE: economictimes.indiatimes.com
SOCIAL CRITERIA
Social criteria refers to business
relationships. It includes corporate social
responsibility and what a company gives
back to society from its earnings and
profitability.
It refers to protection of human capital,
human resource rights and community
standards and favorable labour policies by
company management towards the
workforce.
SOURCE: economictimes.indiatimes.com
PARAMETERS
Some of the parameters considered
in ESG Investing are resilience,
resource utilisation, business ethics,
human capital and occupational
health and safety, land and
biodiversity, product governance.
SOURCE: economictimes.indiatimes.com
SUSTAINABLE
INVESTING
Globally about $2.96 trillion has been
invested in funds that are managed with
an ESG focus, according to Morningstar. In
India though, the concept is yet nascent.
According to a Morgan Stanley survey
conducted in 2019, 85% of retail
investors are interested in sustainable
investing.
SOURCE: economictimes.indiatimes.com
ESG IN INDIA
The Nifty 100 ESG Index, was designed to
reflect the performance of companies
within the Nifty 100 index based on the
ESG score. It has been seen that the Nifty
100 ESG Index has outperformed its
parent index Nifty 100 across various 1,3
and year timeframes.
SOURCE: economictimes.indiatimes.com
BENEFITS OF ESG
INVESTING
Sustainable was once considered for a
niche set of investors who wanted to align
their investment goals to their personal
values and beliefs. By following the ESG
method of corporate functioning;
companies are more inclined to
shareholder interest.
SOURCE: economictimes.indiatimes.com
ASPECTS OF
KNOWLEDGE CAPITAL
Aspects of Knowledge Capital,
Corporate Governance and being
mindful of our resources is a growing
interest to protect our beautiful
planet earth from extinction.
SOURCE: economictimes.indiatimes.com
THANK YOU
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