UCLA Expert: Megan Mullin: Professor of Public Policy, UCLA Luskin School of Public Affairs; Faculty Director, Luskin Center for Innovation
Synopsis: Many big banks and fund managers have started taking environmental, social, and governance issues into consideration alongside profitability when they make investment decisions.
UCLA News: According to Mullin, “ESG investing incorporates environmental, social and governance risk into investment decision making.” She said the idea is to reduce the financial risk from a changing environment, social disruption and social inequality. The governance part is how a company is run — things like CEO pay and how diverse the board of directors is.
Read more at Marketplace.