Investors are taking a growing interest in the environmental, social and governance (ESG) performance of the companies they invest in.
The scrutiny is not only coming from the growing market of responsible investors; mainstream investors too are looking more closely at ESG as they begin to look beyond short-term investment horizons to the creation of longer term shareholder value.
Issues like modern slavery, financial climate risk, energy transition, responsible tax practices and impact investment were simply not part of investors' vocabulary just a few years ago, but are commonly discussed today. And the way in which companies respond to the ESG expectations of their investors has growing implications for the cost of capital.
Analysts expect this trend to accelerate as the socially-conscious generations who grew up with global challenges like climate change and runaway population growth begin to wield greater investment power.
So, now more than ever, it's critical for companies to engage with investors on ESG, and shape their ESG messages to meet investors' expectations.
KPMG member firms have a network of ESG and investor relations specialists who can help your company enhance its ESG communications with investors and improve your performance in key ESG indices and rankings. Talk to us to find out more.
KPMG member firms can provide bespoke ESG investor relations services to suit the needs of individual clients. Our support typically covers the following areas:
Find out more by downloading the brochure below.