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Erschienen in:
2021 | OriginalPaper | Buchkapitel
4. Sustainability as Part of Qualitative Analysis
verfasst von : Hanna Silvola, Tiina Landau
Erschienen in: Sustainable Investing
Verlag: Springer International Publishing
Abstract
Investors assess the risks and opportunities related to ESG aspects: the environment, social responsibility and governance. This is commonly referred to as the integration of sustainability into investment decisions. The goal is to achieve better returns with a more controlled risk (improving the risk-to-return ratio) and/or manage the investor’s reputation. In practice, this means that the return potential may otherwise be the same for different companies, but some companies are subject to higher ESG risks. In other words, an investor benefits if they can identify an investment that offers similar returns with a lower risk.
