Do ESG stakeholders know as much as they should?

A lack of in-depth understanding of environmental, social and governance issues among the diverse stakeholders involved in sustainable investment can trip up the sector’s progress

The Green Horizon Summit earlier this month is evidence that environmental, social and governance (ESG) Investing is high on the agenda of business and government. More than 100 global business and climate leaders, including the Prince of Wales and United Nations secretary-general António Guterres, took part.

Business leaders, asset managers and institutional investors are already clued up on the benefits of ESG investing. Yet for sustainable investing to become mainstream, it needs the support of financial advisers, corporates and retail investors.

Figures from the Investment Association suggest the amount invested in stocks and funds with ESG characteristics could be 50 per cent greater than in 2019, thanks in part to high-profile campaigns by Greta Thunberg and Sir David Attenborough.