ESG investing focuses on environmental, social, and governance principles. Sometimes referred to as sustainable investing, impact investing, or socially responsible investing, ESG investing is a way for investors to look past profits and consider the role companies play in the world's greater good. The ESG metricsThere are three main metrics used to grade companies based on ESG standards. That's something you want to be aware of -- not only the company's role in climate change, but also how climate change can affect businesses and the broader industries in the future. There are no universal ratings in ESG standards, so ESG funds don't always grade ESG metrics on the same scale.

Source: The Guardian June 05, 2022 00:21 UTC