• Gustavo Bernal Torres

The Elephant in the Room: The ESG Contradiction

We all agree that finance has a key role to play in getting us to net zero. But we can’t ignore the elephant in the room: the inherent conflict between the “E,” the “S,” and the “G” in environmental, social, and governance (ESG) investing.


  • As much as we might wish otherwise, the goals embedded in these initials don’t always align with one another. That’s why a compromise must be made. Investors, asset managers, and businesses have to agree on which of the three is the most important.

  • Generating returns and being true to the “S” takes time. Short-termism is the antithesis of sustainable growth. For companies to meet the net-zero challenge, they need investors who understand what’s at stake and what it will take to achieve.


Source: https://blogs.cfainstitute.org/investor/2022/01/28/the-elephant-in-the-room-the-esg-contradiction/

0 comments

Recent Posts

See All