Compliance
ESG (Environmental, Social, and Governance)
A set of standards for a company’s operations that socially conscious investors use to screen potential investments.
What is ESG (Environmental, Social, and Governance)?
ESG refers to a set of criteria used to evaluate a company’s operations with a focus on environmental stewardship, social responsibility, and governance practices. These standards are increasingly used by socially conscious investors, including family offices, to assess potential investments that align with their values and long-term objectives.
Importance of ESG in Family Offices
Family offices often prioritize ESG criteria to ensure their investments reflect the family’s values and contribute positively to society. By integrating ESG considerations, family offices can manage risks, identify sustainable growth opportunities, and enhance their reputation as responsible investors.
Related Terms
Corporate Governance
Mechanisms, processes, and relations by which corporations are controlled and directed, ensuring accountability and fair...
ViewDivestment
The process of selling off subsidiary business interests or investments, often for strategic or ethical reasons.
ViewESG Investing
Incorporating Environmental, Social, and Governance factors into investment analysis and decision-making.
ViewImpact Investing
Investments made with the intention to generate positive, measurable social and environmental impact alongside a financi...
ViewSustainable Investing
An investment approach that considers environmental, social, and governance factors in addition to financial returns.
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