ESG Investing – Investment In today’s era, it is increasing investor confidence in ESG that ESG is actually an acronym for Environmental Social Ex-Corporate Governance, it has emerged as a new age option for investment. Mutual fund companies are liking ESG, while more and more corporates are also bringing environmental issues social work governance principles into the mainstream, from this it is clear that this company is focusing on growing its business following ESG’s rules.
Benefits to companies by adopting ESG
ESG is helping to strengthen the financial system and banking network, India’s initiative on green finance has been strengthened in the recent past ESG has a positive relationship with the financial performance of the company. Utilizing the right resources drives top line growth and helps raise capital at a low cost.
ESG Effect On financial performance / Banking & Non Banking Sector
This is very important for banks as well as for the non-banking financial sector as it is important to take into account the risk associated with ESG in their credit evaluation. Companies also get the benefit of adopting ESG so that loan agreement and tenure can be implemented in a better way.