Environmental, Social and Governance (ESG)

What is ESG?

Responsible investing is understood as the integration of environmental, social and governance (ESG) factors into investment processes and decision-making.

Investors recognize that ESG information about corporations is vital to understand corporate purpose, strategy and management quality of companies.

Why Is It Important?

There are a number of financial benefits that correlate to companies that pursue a high ESG performance:

• More attractive to investors. Green investment funds and socially responsible investors are more likely to fund companies with good ESG scores.
• Better performance. A study by a leading asset manager showed that between 2014–2017, its portfolios with high ESG scores outperformed competing investments. (Source: Amundi)
• Better financial indicators. MSCI reports that high-ESG companies experience lower cost of capital, less volatile earnings and lower market risk compared to low-ESG companies (Source: MSCI)​

ESG Certificate Training ​

 
Purpose- The purpose of the ESG Certificate training is to deepen further the participants' understanding of ESG issues, understand in more detail the strategy of each participant’s firm, and to develop a personal ESG leadership action plan tied to that strategy.  


Part I – Introduction and background

• Sustainable development & Sustainability Reporting and why it is important

Part II – Overview of the Emerging Leaders in Standards and Ratings

• Terminology
• GRI (Global Reporting Initiative)
• IPIECA (global oil and gas industry association for advancing environmental and social performance.)
• PARIS CLIMATE AGREEMENT(How will parties be held accountable?)
• SASB (Sustainability Accounting Standards Board)

Part III – Standards

• Universal standards (GRI 101, GRI 102, GRI 103)
• IOIECA – reporting best practices and methodology
  • PARIS CLIMATE AGREEMENT (the effects on the Oil and Gas industry)
  • SASB (what are material issues in the accounting world)

 
Part IV- Best Practices to Realize the Full Benefit of embracing ESG

• Take stock of your stakeholders, (what are they looking for, ask for the necessary data important to them)
• Identify the appropriate ESG criteria for your industry and your company
• Lead with a purpose (define your purpose, set related goals)
• Develop and report purpose-led metrics
• Ensuring reliability and consistency

Part V – Your Firms Reporting Strategy (DRIVE)

• Develop
• Report
• Issues & indicators
• Validate
• Engage