Governmental and scientific news and insights on investor oriented environmental, social, and governance (ESG) data.

ESG Risks and the Cross-Section of Stock Returns

This paper studies the effect of ESG risks on shareholder value, using data from RepRisk to measure the risk exposure of a firm to ESG incidents. A firm has high ESG risks when it had many ESG incidents in the past. This paper shows that a portfolio of these firms generates negative stock returns over [...]

By |2017-07-18T09:22:48+00:00July 18th, 2017|ESG, Firm Value, Risk|0 Comments

Bloomberg and the TCFD – final recommendations

“Increasing transparency makes markets more efficient, and economies more stable and resilient.” —Michael R. Bloomberg, Chair of the TCFD To help identify the information needed by investors, lenders, and insurance underwriters to appropriately assess and price climate-related risks and opportunities for the companies, the Financial Stability Board established an industry-led task force: the Task Force [...]

EU Commission releases its Non-Financial Reporting guideline

Article 2 of the Directive refers to ‘guidance on reporting’ and sets out that ‘the Commission shall prepare non-binding guidelines on methodology for reporting non-financial information, including non-financial KPIs, general and sectoral, with a view to facilitating relevant, useful and comparable disclosure of non-financial information by undertakings. […]’ Recital 17 of the Directive states that, [...]

By |2017-06-28T21:12:20+00:00June 28th, 2017|CSR, ESG, Integrated Reporting|0 Comments

Corporate Social Responsibility Ratings and Financial Performance: An Analysis of Sub-Ratings in Europe

The overall objective of the study is to deepen our investigation into the CSR sub-ratings by measuring their impact on accounting and stock market performance by first using a “Prospective” approach in which the subsequent performance of the sample companies is predicted by their CSR sub-ratings in Vigeo. We then perform a “Retrospective” analysis which [...]

By |2017-06-09T20:59:12+00:00June 9th, 2017|CSR, ESG, Financial, Firm Value, Investors|0 Comments

Harvard: Stock Price Synchronicity and Material Sustainability Information

We examine if, and under what conditions, disclosure of sustainability information identified as investor relevant by market-driven innovations in accounting standard-setting, is associated with stock prices reflecting more firm-specific information and thereby lower synchronicity with market and industry returns. We find that firms voluntarily disclosing more sustainability information, identified as material by the Sustainability Accounting [...]

By |2017-05-23T10:38:07+00:00May 23rd, 2017|ESG, Firm Value, Indicators, Investors, Risk|0 Comments

EY-analysis: Is your non financial performance revealing the true value of your business to investors?

EY member firms are able to conclude from several years of research of ESG reporting that there is a global trend toward increased interest in nonfinancial information on the part of investment professionals. But the question we continue to seek to answer is whether ESG information is, ultimately, influencing investor decisions. In each of the [...]

By |2017-05-23T10:34:49+00:00May 23rd, 2017|ESG, Firm Value, Indicators, Investors, Risk|0 Comments

State Street Global Advisors: ESG’s place in investment portfolios

To gain deeper insights into how investors are implementing ESG in their portfolios and the challenges they face, State Street Global Advisors commissioned a survey of 475 global institutional investors in the United States, Europe and Asia Pacific, including some of the largest pension plans, endowments and foundations. Respondents are directly involved in or influence [...]

By |2017-05-04T08:56:46+00:00May 4th, 2017|ESG, Investors|0 Comments

New ESG think tank established

It is with much pleasure that we can announce that the think tank, Center for ESG Research, now has been established, with Dr. Jagd as the CEO, Lead Researcher. The think tank was founded in February 2017 at Scion DTU, and has this board: Chairman, Birgitte Mogensen – State authorised auditor and Chairman for the [...]

By |2017-04-28T11:21:01+00:00April 28th, 2017|ESG, Firm Value, Risk|0 Comments

Nasdaq Nordic and Baltic exchanges launch ESG Reporting Guide

The 23.03.2017 Nasdaq announced that its Nordic and Baltic exchanges in Stockholm, Helsinki, Copenhagen, Iceland, Tallinn, Riga and Vilnius have issued a voluntary support program on environmental, social and governance (ESG) disclosure to support their listed companies. “Many of the companies listed on the Nasdaq Nordic and Baltic exchanges are already global leaders in sustainability [...]

By |2017-03-29T11:26:38+00:00March 29th, 2017|ESG, Indicators, International, Investors|0 Comments

Board Refreshment Trends at S&P 1500 firms

A growing number of investors have begun to take refreshment matters into their own hands. Some shareholders routinely oppose the reelection of long-tenured directors to encourage turnover and fresh blood. Importing a practice from the U.K. and other global markets, other investors threaten to slap “affiliated” (non-independent) labels on long-tenured board members in hopes of [...]

By |2017-03-13T14:57:00+00:00March 13th, 2017|ESG, Governance, Investors, Risk|0 Comments