The market for impact investment consulting is lucrative and growing. However, the diversity of methods for ESG ratings is increasingly becoming a curse for the effectiveness of SI and confuses investors who want to create impact.
Hence, for impact creators struggling with #AggregateConfusion, a widely accepted definition and standards following it are much needed. This would also incentivize companies to improve their ESG performance, say researchers Julian Kölbel from CSP, and Florian Berg and Roberto Rigobon from MIT Sloan School of Management.
Read the entire Financial Times article here.