What is ESG investing?

“At its core, ESG investing is about influencing positive changes in society by being a better investor,” says Hank Smith, head of investment strategy at The Haverford Trust Company. According to Smith, ESG investing assumes that there are certain environmental, social and corporate governance factors that impact a company’s overall performance.

Why is ESG important for financial institutions?

Environmental, social and governance (ESG) associated opportunities and risks are becoming more and more relevant for financial institutions. Not only do ESG considerations make sense for the environment, sustainable operations are linked with better economic performance.

Is ESG a good investment in 2021?

2021 brings collective demand for change around the globe. ESG ranked as the top asset class for increased allocations in J.P. Morgan’s U.S. Fixed Income Strategy client survey for 2021.