What does ESG stand for?

ESG stands for environmental, social and governance.

 

The E- Environmental

The environmental criteria measure a company’s impact on the environment, such as energy efficiency and emissions and waste.  

 

The S- Social

The social criteria track various performance measures ranging from a company’s policies and record on human rights, right through to responsible employment practices.

 

The G- Governance

The governance criteria assess and measure how the company is run; from internal controls to leadership, as well as executive pay and shareholder rights.