ESG Environmental

This post will talk about ESG Environmental and its related information. to Know more keep reading.

ESG Environmental – Overview

Environmental criteria may include a company’s use of energy, waste, pollution, natural resource conservation, and animal treatment. The criteria can also be used to assess any environmental risks that a company may face and how those risks are managed. Is there, for example, a problem with its ownership of contaminated land, disposal of hazardous waste, management of toxic emissions, or compliance with government environmental regulations?

Environmental, Social, and Governance (ESG) Criteria Work

Investors (notably younger generations) have, in recent years, shown interest in putting their money where their values are. As a result, brokerage firms and mutual fund companies have started offering exchange-traded funds (ETFs) and other financial products that follow ESG criteria.

Robo-advisors, such as Betterment and Wealthfront, have used them to appeal to these investors. According to the most recent report from US SIF Foundation, investors held $17.1 trillion in assets chosen according to ESG criteria at the beginning of 2020, up from $12 trillion just two years earlier.