ESG stands for Environmental, Social and Governance. These three central factors are used by investors and fund managers to screen investments by measuring the sustainability and societal impact of an investment in a company.
ESG criteria are:
It is important to note that there is no universal definition for ESG investments. It is difficult to determine the extent to which a company is socially responsible since every individual has varying opinions and beliefs on this topic. However, as ESG investing continues to grow, it is expected to evolve in order to meet changing client objectives, new opportunities and better data quality.
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