Environmental, social and governance risks have potential impacts on financial returns and are an important indicator of the quality of management and board governance.
Shareholder value can be impacted by not taking these issues into account in decision making. Investors need to understand how to analyse ESG risks to factor them into their assessments.
The United Nations Principles for Responsible Investment (PRI) is a global framework that guides investors in looking at ESG and has the support of organisations managing some US$80 trillion in global investments.
Suzanne Ridding has had hands on experience as the Sustainability Manager at an industry super fund and can provide guidance on how to set up ESG policies, frameworks and reporting.
Super funds – understand your fiduciary responsibilities in ESG and build a framework. Meet your UNPRI commitments.
Companies – be aware of influences on your company that could affect your returns and tackle them head on. Anticipate what your investors might be concerned about and report accordingly.