ESG Investing and AI

Artificial Intelligence (AI), machine learning, and natural language processing have taken a firm foothold, and companies are exploring opportunities to leverage their power.  AI and related tools will help investors navigate companies’ financial performance prospects and environmental, social and governance (ESG) factors. Let’s look at some of the ways in which AI can support ESGContinue reading “ESG Investing and AI”

Blended Finance: Unlocking Commercial Finance forSustainable Development

Here is my piece on Blended Finance, published in Artha, the IIM Calcutta finance journal. With investment needs to move to a green economy exceeding $1 trillion a year by 2030, governments and international agencies will find it challenging to fund this. Thus private and public finance will need to join hands. Blended finance blendsContinue reading “Blended Finance: Unlocking Commercial Finance forSustainable Development”

War and ESG

The Russia-Ukraine war has thrown up several issues around ESG. Given that the EU is neighbour to the warring parties, the impact of war is direct. But the war also has ramifications around the world. So let us look at some implications for ESG. Emissions: The recent IPCC report highlighted the urgency to reduce GHGContinue reading “War and ESG”

Financing the Shift to Net Zero

The shift to net-zero requires both a transition in global energy and a significant reduction in greenhouse gases emitted by industries. Both require huge levels of investment.  However, most investments required to shift to net zero are large, complex, and risky. This raises an interesting question of where the money will come from to achieve net-zeroContinue reading “Financing the Shift to Net Zero”

ESG Share buybacks: Innovative ESG Finance

An innovation in ESG finance is taking root. An essential part of the “S” of ESG is the commitment to stakeholders. Returning money to shareholders rather than investing in negative NPV projects is one such commitment. In an ESG buyback, a company allocates part of the outperformance of its share buyback to the funding ofContinue reading “ESG Share buybacks: Innovative ESG Finance”