ESG Study Notes
Certificate in ESG Investing – 2023/2024
,Chapter 1
• 1.1.1 define ESG investment and different approaches to ESG investing: responsible investment, socially
responsible investment, sustainable investment, best-in-class investment, ethical/values-driven investm
thematic investment, green investment, social investment, shareholder engagement
• 1.1.2 define the following sustainability-based concepts in terms of their strengths and limitations: corp
social responsibility and triple bottom line (TBL) accounting
• 1.1.3 describe the benefits and challenges of incorporating ESG in decision making, and the linkages bet
responsible investment and financial system stability
• 1.1.4 explain the concepts of the financial materiality of ESG integration, double materiality, and dynam
materiality and how they relate to ESG analysis, practices, and reporting
• 1.1.5 explain different ESG megatrends, their systemic nature, and their potential impact on companies
company practices
• 1.1.6 explain the three ways in which investors typically reflect ESG considerations in their investment
process
• 1.1.7 explain the aims of key supranational ESG initiatives and organizations and the progress achieved t
date
,Section 1.1.1
• WHAT IS ESG INVESTING?
1.1.1 define ESG investment and different approaches to ESG investin
responsible investment, socially responsible investment, sustainable
investment, best-in-class investment, ethical/values-driven investme
thematic investment, green investment, social investment, sharehold
engagement
, Define ESG investment
• ESG investing is an approach to managing assets where investors
explicitly incorporates ESG factors into decision making – with the
long-term return in mind.
• In other words, ESG investing aims to correctly identify, evaluate, a
price social, environmental, and economic risks and opportunities.
Certificate in ESG Investing – 2023/2024
,Chapter 1
• 1.1.1 define ESG investment and different approaches to ESG investing: responsible investment, socially
responsible investment, sustainable investment, best-in-class investment, ethical/values-driven investm
thematic investment, green investment, social investment, shareholder engagement
• 1.1.2 define the following sustainability-based concepts in terms of their strengths and limitations: corp
social responsibility and triple bottom line (TBL) accounting
• 1.1.3 describe the benefits and challenges of incorporating ESG in decision making, and the linkages bet
responsible investment and financial system stability
• 1.1.4 explain the concepts of the financial materiality of ESG integration, double materiality, and dynam
materiality and how they relate to ESG analysis, practices, and reporting
• 1.1.5 explain different ESG megatrends, their systemic nature, and their potential impact on companies
company practices
• 1.1.6 explain the three ways in which investors typically reflect ESG considerations in their investment
process
• 1.1.7 explain the aims of key supranational ESG initiatives and organizations and the progress achieved t
date
,Section 1.1.1
• WHAT IS ESG INVESTING?
1.1.1 define ESG investment and different approaches to ESG investin
responsible investment, socially responsible investment, sustainable
investment, best-in-class investment, ethical/values-driven investme
thematic investment, green investment, social investment, sharehold
engagement
, Define ESG investment
• ESG investing is an approach to managing assets where investors
explicitly incorporates ESG factors into decision making – with the
long-term return in mind.
• In other words, ESG investing aims to correctly identify, evaluate, a
price social, environmental, and economic risks and opportunities.
