Abstract
Recent disasters have emphasized the need for further action to protect businesses and society from long-term sustainability threats. We believe that the crisis is hastening nascent ESG trends, and that the increased focus on a company’s environmental and social impact will last long after crises have passed. We refined three fundamental concepts that guide our thinking on investing based on environmental, social, and governance factors as our approach to sustainable investing has evolved. The ESG factor assessments are more of an inherent aspect of a sound investment process than a separate investment discipline. When ESG variables are considered, the focus is on long-term risk adjusted investment returns. Investors should choose the strategy that best matches with their goals and interests. ESG investing is not a simple yes or no answer. The research gap extracted from the previous studies is to determine the relationship among the influencing factors of ESG and its priority with their driving and dependence capabilities. We used an ISM Approach to uncover the interrelationships and influencing behavior among the elements for considering ESG in investment after conducting a thorough literature research and consulting with experts. Here interpretive structural modeling (ISM) was used to explore the links among such extracted factors and its interdependencies. There was also focus on the short-term and long-term factors to achieve our desired objective. Our research will assist businesses in attracting and obtaining finance. The results of this analysis will be helpful for leaders to understand the impact of ESG on the investment aspects of an organization.
Highlights
As the era is evolving, we are witnessing unprecedented achievements in various fields, giving rise to various new possibilities every day
We initially identified critical factors affecting ESG investing; we reviewed past works and sought different expert opinions (inputs to structured self-interaction matrices (SSIMs))
The linkages among elements affecting ESG investing were extensively examined and The linkages among elements affecting ESG investing were extensively examined created in our study
Summary
As the era is evolving, we are witnessing unprecedented achievements in various fields, giving rise to various new possibilities every day. With this progression, we are seeing various new irreversible changes in our lives and environment which if not heeded at the right time can prove fatal to humankind [1]. Since sustainable goals are always long term, their effects are long term. As our lifestyle is changing according to our sustainable goals, so is our way of investing and earning [2]. Today the word sustainable has pivotal roles in our daily lives and plays an integral part in choosing which company to choose for investing since investing is all about the effect of compounding
Sign-in/Register to view highlights & summary Talk to us
Join us for a 30 min session where you can share your feedback and ask us any queries you have
Schedule a callDisclaimer: All third-party content on this website/platform is and will remain the property of their respective owners and is provided on "as is" basis without any warranties, express or implied. Use of third-party content does not indicate any affiliation, sponsorship with or endorsement by them. Any references to third-party content is to identify the corresponding services and shall be considered fair use under The CopyrightLaw.
