ESG Flashcards

You may prefer our related Brainscape-certified flashcards:
1
Q

ESG Reporting

A

Disclosure of data on an organisation’s environmental, social and governance performance

Required for those listed,

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2
Q

Carbon footprint

A

Measure of total greenhouse gas emissions caused directly or indirectly by an individual, organisation, event, or product

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3
Q

Social licence to operate

A

Ongoing acceptance or approval of an organisation by its stakeholders and the community in which it operates

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4
Q

Corporate Social Responsibility (CSR)

A

A business model where companies integrate social and environmental concerns in their business operations and interactions with stakeholders

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5
Q

Sustainability

A

The ability to maintain or improve standards of living without damaging or depleting natural resources for future generations

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6
Q

Green bonds

A

Bonds specifically earmarked for climate and environmental projects

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7
Q

Impact investing

A

Investments made with the intention to generate positive, measurable social and environmental impact alongside a financial return

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8
Q

Governance

A

The system of rules, practices and processes by which a firm is directed and controlled

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9
Q

Stewardship code

A

Guidelines aiming to enhance engagement between institutional investors and companies to improve long-term shareholder returns

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10
Q

Diversity and Inclusion (D&I)

A

Policies and programmes promoting representation and participation of different groups within an organisation

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11
Q

Greenwashing

A

Marketing a financial product as environmentally friendly when it does not meet environmental standards

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12
Q

Supply chain sustainability

A

Managing environmental, social and economic impacts in the lifecycle of goods and services

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13
Q

Fiduciary duty

A

A legal obligation to act in the best interest of another party, incorporating ESG risks in investment decisions

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14
Q

Non-financial reporting

A

Reporting on a company’s ESG practices

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15
Q

Climate risk disclosure

A

Reporting on how climate change might impact a company’s financial performance

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16
Q

SRI (Socially responsible investing)

A

An investment strategy that considers financial return and social or environmental good

17
Q

Net zero emissions

A

Achieving a balance between the greenhouse gases put into the atmosphere and those taken out

18
Q

Sustainable development goals (SDGs)

A

A collection of 17 global goals set by the UN to end poverty, protect the planet and ensure prosperity

19
Q

Ethical investing

A

Investing in companies that align with the investor’s personal values often related to social and environmental factors

20
Q

Carbon neutrality

A

The concept of offsetting as much carbon dioxide as is emitted, creating a net zero carbon footprint

21
Q

Environmental impact assessment (EIA)

A

A process of evaluating the likely environmental impacts of a proposed project or development

22
Q

Social impact assessment (SIA)

A

An analysis to assess the social impacts of a project or development

23
Q

Corporate governance

A

The mechanisms, processes and relations by which corporations are controlled and directed

24
Q

Shareholder activism

A

The use of an equity stake in a corporation to put pressure on its management

Eg Exxon is suing activist investors

25
Q

Triple bottom line

3 p’s

A

A business approach considering social and environmental impacts

People, planet and profit

26
Q

Circular economy

A

A model that focuses on careful management of resources to eliminate waste and continue the use of resources

27
Q

Responsible supply chain management

A

Managing the supply chain with consideration to environmental and social impacts

28
Q

ESG integration

A

The practice of incorporating ESG factors into investment decisions to better manage risks and improve returns

29
Q

Biodiversity

A

The variety of plant and animal life in a particular habitat, critical for environmental sustainability

30
Q

Renewable energy

A

Energy from sources that are naturally replenishing but flow limited like wind or solar power