Green FinTech

Table of Contents

1. Frontmatter

2. 1. Introduction to WHY Fintechs Need a Taxonomy

   Karen Wendt, Mathias Hauser

   Abstract

   In recent years, the importance of sustainability, ESG criteria, and Impact Investing has undergone a notable increase, both at the corporate and national levels as well as on a global scale. Especially the field of Impact Investing has increasingly become a major subject of research and practice. Unfortunately, there is a lack of scientifically founded knowledge of a uniform and standardized measuring of the impact of fintechs. At the same time, humanity is faced with the necessity of adapting to the limited resources of planet Earth and an unprecedented global trend towards a holistic approach to sustainability has emerged, affecting economic, social, and ecological dimensions. Many different systems, including, but not limited to, transportation, healthcare, education, food, and finance necessitate a fundamental reassessment and reimagining. In view of the task of realizing far-reaching changes within the financial system, impact investments constitute a central leverage point (Wendt, 2018, p. ix). The financial industry assumes a critical role in realizing the objectives outlined in the UN 2030 agenda and the Paris Agreement. Most importantly, digital finance innovations have proven their capability to help enable a transition towards more sustainable business models in the financial sector. However, considerable additional investments amounting to at least $3 trillion each year across the globe, with $1.4 trillion allocated to developing nations, are required for the effective implementation of the Paris Agreement and the achievement of the Sustainable Development Goals (SDGs) (Puschmann et al., 2020, p. 1).

3. 2. Research Methodology

   Karen Wendt, Mathias Hauser

   Abstract

   In the following chapters, the systematic approach employed to conduct the study is elucidated, ensuring the dependability, accuracy, and applicability of the findings. Furthermore, a thorough presentation of the research design, research approach, pre-interview and main interview participant selection process, and an overview of the interview sample as well as the data-gathering techniques are outlined.

4. 3. Revisiting Theory of Sustainable Investing: ESG and Impact

   Karen Wendt, Mathias Hauser

   Abstract

   Primarily, a paramount comprehension of the pertinent terminology, namely “ESG,” “Impact,” and “Fintech” is established as a foundational prerequisite for delineating the interview sample. Subsequently, an exhaustive literature review is conducted to present the current state of research and expound upon the prevailing developments. Additionally, an encompassing portrayal of the impact investment landscape is provided, while pertinent reporting standards are introduced for comprehensive understanding.

5. 4. Results

   Karen Wendt, Mathias Hauser

   Abstract

   In the following chapters, key findings that emerged from the qualitative interviews are presented. For a clear presentation, the following sub-sections correspond to the general layout of the interview guidelines. To proficiently showcase the outcomes of the interviews, a comparative analysis with emphasis on thematic focal points is employed, in alignment with the methodology proposed by Zurbriggen et al. (2018). In addition, the initial concept of the Impact Taxonomy is presented, which consists of both the top-down and bottom-up approach. To demonstrate the practical application of the bottom-up methodology, two illustrative cases are provided. Finally, the findings of the quantitative survey are summarized and analyzed in detail.

6. 5. Discussion and Outlook

   Karen Wendt, Mathias Hauser

   Abstract

   In the following section, a thorough analysis of the study’s implications is provided, evaluating the observed effects of the applied methods and identified results. Moreover, a critical reflection on the project’s execution is delineated, addressing challenges encountered and lessons learned throughout the process.

7. Backmatter