What is ESG?
Since investors find investment portfolios evaluation cannot be made from imposing only traditional financial measures, there are a strong inclination towards environmental, social, and governance (ESG) aspects. A deep analysis of these criteria can play as supporting pillars to modern investors in avoiding companies with unethical practices that might pose greater financial risks.
- E stands for Environment, referring to the company’s behaviours on major issues such as resource depletion, climate change, industrial waste, and pollution.
- S stands for Social, referring to the company’s approach to health and safety issues regarding people, employees, and local communities.
- G stands for Governance, referring to corporate policies and mechanisms, including tax strategies, corruption, structures, and remuneration.
Besides helping to attract long-term investment, adopting and engaging ESG criteria ensures EZLand’s sustainability and continually improves the ethical performance. A focus on ESG encourages our company in measuring the positive impacts and strengthens the relationships between EZLand and our customers, investors, employees, and communities. This is another way to achieve the success of EZLand beyond the balance sheet and examine how it impacts the broader society at large. With a strong ESG program, our company can gain credence among customers, especially millennials who seek to do business with responsible companies and attract like-minded employees who want to pursue a career in companies that share similar values.