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ARTICLE · 11 APRIL 2020

"ESG": A New Ethical Lens On Private Equity

Gowling WLG
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In the wake of global crises and changing investor demographics, investment decisions are moving away from the traditionally exclusive focus on financial gain.

CanadaCorporate/Commercial Law

In the wake of global crises and changing investor demographics, investment decisions are moving away from the traditionally exclusive focus on financial gain. Instead, the topic of Environment, Social, and Governance or "ESG" has been a fast-growing trend in the Private Equity space in recent years. ESG refers to various ethical considerations that companies are implementing in their operations in order to become more socially responsible.

Some key examples of ESG are as follows:

Environmental Social Governance
  • Climate Change
  • Pollution/Dumping
  • Conservation of Resources (energy, trees, water etc.)
  • Animal welfare
  • Employee/human rights
  • Local community interaction

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