ESG investment and Outright Monetary Transactions: Difference between pages

From ACT Wiki
(Difference between pages)
Jump to navigationJump to search
imported>Doug Williamson
(Add quote. Source: ITW Day 4 https://www.treasurers.org/round-day-4-act-international-treasury-week)
 
imported>Doug Williamson
m (Standardise header, minor rewording for clarity and categorise page.)
 
Line 1: Line 1:
Environmental, Social and Governance-based investment.
(OMT).


An investment approach which takes explicit account of the environmental, social and corporate governance aspects of all proposed investments.
Part of the [[open market operations]] of a central bank in which the central bank buys or sells securities outright - i.e. without the re-sale or re-purchase legs of [[reverse repurchase agreement]]s or [[repurchase agreement]]s.


This was a new tool for the European Central Bank in 2012 - and controversial, especially in Germany - though its use by other banks has not been so dogged by controversy.


:<span style="color:#4B0082">'''''No altruism'''''</span>
[[Category:Risk_frameworks]]
 
:There the ability to do the right thing event without any altruism - ESG is affecting investor performance.
 
:Once controlled for systematic risk, there is a significant positive relationship between ESG performance and financial returns – this has changed considerably over the last few years when it was seen as a trade-off.
 
:''Association of Corporate Treasurers, International Treasury Week, 14 May 2020.''
 
 
== See also ==
* [[Carbon footprint]]
* [[Carbon Trust]]
* [[Corporate engagement and shareholder action]]
* [[Corporate governance]]
* [[Corporate social responsibility ]]
* [[ESG bond]]
* [[ESG integration]]
* [[ESG ratings]]
* [[ESG stock]]
* [[I&E]]
* [[Impact investing]]
* [[Negative screening]]
* [[Norms-based screening]]
* [[Positive screening]]
* [[SRI]]
* [[Sustainability]]
* [[Sustainability themed investing]]
* [[Systematic risk]]
 
 
== Other links ==
[https://www.treasurers.org/thetreasurer/a-practical-insight-into-green-bonds-and-ESG-investing/ A practical insight into green bonds and ESG investing, The Treasurer web exclusive, June 2019]
 
[[Category:Investment]]
[[Category:Ethics]]

Revision as of 19:06, 28 August 2014

(OMT).

Part of the open market operations of a central bank in which the central bank buys or sells securities outright - i.e. without the re-sale or re-purchase legs of reverse repurchase agreements or repurchase agreements.

This was a new tool for the European Central Bank in 2012 - and controversial, especially in Germany - though its use by other banks has not been so dogged by controversy.

Retrieved from ‘https://wiki.treasurers.org/w/index.php?title=ESG_investment&oldid=35774’