In recent years, socially responsible investing has gained importance among market participants worldwide. Globally, there has been an increase in the number of large-scale market participants who have become socially conscious and want to allocate their investments toward businesses that acknowledge the relevance of environmental, social, and governance (ESG) factors.
ESG reporting requirements are reaching new heights, prompted by unprecedented levels of regulation and investor interest. Still, according to PwC, the majority of investors say they are not satisfied with current ESG reporting standards.
How can companies identify and manage embedded risks across the value chain?
This scene came to mind after I recently posited a few indexing milestones.
In a recent Financial Planning article, Craig Israelsen advocated using stock market size segments to construct portfolios rather than a total market approach.