Making sense of ESG investment capital

Author: IFLR Correspondent | Published: 9 Dec 2019

Quantifying the value of environmental, social and governance returns is no easy task for investors

1 Minute read
In recent years, the adoption of environmental, social and governance (ESG) investing has risen steadily. Yet many companies are finding it challenging to understand how investors quantify the value of ESG returns when making investment decisions. To solve this problem, Freshfields set out to understand what is being measured, speaking with researchers at the London School of Economics and the University of Chicago to gain a perspective. The firm also interviewed dozens of asset managers and fund industry service providers to understand how institutional investors mine through the flood of ESG quantitative data.

It can be challenging for companies to understand how investors quantify the value of environmental, social, and governance (ESG) returns when making investment decisions.

ESG investing, often referred to as sustainable or socially responsible investing, has turned a corner....