ESG Investing factors
Etablissement : Faculté de Gestion, Economie & Sciences Masters
Langue : Anglais
Formation(s) dans laquelle/lesquelles le cours apparait :
- Master Finance Responsable Durable [ECTS : 3,00]
Période : S2
ESG investing has gained significant traction in recent years as investors increasingly recognize the importance of sustainable and responsible investment practices. This course provides a comprehensive overview of ESG (Environmental, Social, and Governance) investing factors. We will explore the key factors and considerations that drive ESG investing decisions and develop the knowledge and skills to analyze and incorporate ESG factors into your investment strategies.
COURSE OBJECTIVES
By the end of this course, students will be able to:
- Understand the concept of ESG investing and its relevance in the investment landscape.
- Identify and evaluate the key ESG factors used in investment decision-making.
- Analyze the financial and non-financial implications of ESG factors on investment performance.
- Assess the integration of ESG factors within investment portfolios.
- Critically evaluate ESG data sources and metrics for effective decision-making.
- Apply ESG investing frameworks and methodologies to real-world investment scenarios.
- Understand the challenges and limitations of ESG investing and explore potential solutions.
- Recognize the role of ESG factors in risk management and long-term value creation.
Session 1 Introduction to ESG investing
- Definition and evolution of ESG investing
- Motivations and drivers of ESG investing
- Historical context and industry trends
Session 2 Environmental factors
- Climate change and carbon footprint
- Energy efficiency and renewable energy
- Resource management and waste reduction
Session 3 Social Factors
- Labour practices and human rights
- Diversity and inclusion
- Community engagement and philanthropy
Session 4 Governance Factors
- Board composition and independence
- Executive compensation
- Shareholder rights and corporate governance structures
- Group presentation 1
Session 5 ESG Integration in Investment Analysis
- Incorporating ESG factors into traditional financial analysis
- Quantitative and qualitative approaches to ESG integration
- Case studies and best practices
- Group presentation 2
Session 6 ESG Data and Metrics
- Sources and providers of ESG data
- ESG rating methodologies and frameworks
- Assessing data quality and reliability
- Group presentation 3
Session 7 ESG Investing Strategies
- Negative screening and exclusionary approaches
- Positive screening and thematic investing
- Impact investing and shareholder activism
- Group presentation 4
Session 8 ESG Investing Challenges and Limitations
- Measurement and disclosure challenges
- Greenwashing and ethical considerations
- Regulatory and legal considerations
- Group presentation 5
Session 9 ESG Risk Management and Performance
- ESG as a risk management tool
- Long-term financial performance and ESG factors
- Portfolio construction and optimization
- Group presentation 6
Session 10 Future Trends and Conclusion
- Emerging trends in ESG investing
- The role of technology in advancing ESG practices
- Conclusion and summary of key takeaways
- Group presentation 7
