Among the many solutions to prevent climate change, the Environment, Social, and Governance (ESG) framework is widely being adopted by many organizations and even used by security exchange firms such as the SEC to benchmark investment portfolios to cater to stakeholder needs around impact investing options.
Recent developments in various industries show ESG continues to gain adoption from previously being voluntary to a mandatory reporting requirement. It is used as an effective risk management tool to compare companies across various industries and predict their success without looking at a balance sheet.
