ESG In The Boardroom (1)

The term 'ESG' (environmental, social and governance) and the broader area of sustainable finance has lately been heavily mentioned across various platforms and, while such topics have been discussed for several years, interest and related activities are now gaining traction, with discussions being regularly brought up in company board meetings.

Historically, ESG-related issues weren't seen as being within the purview of the board of directors but fell within the ambit of 'corporate social responsibility' and were considered as being separate and distinct from the business of generating revenue and profits. These issues were not considered by directors but rather by specific teams who discussed topics and organised initiatives that could provide public good and were completely irrelevant to shareholders.