Impact Lunch Talk: ESG Scores
“We assess their management systems and operations (…) and this is what most rating agencys are mainly basing their ESG rating on. For us it is just one of 3 pillars.” - Tilman Jundt
For this talk, Melanie Kontonikolaou had Tilman Jundt as a guest. Tilman is working for Inrate, a Swiss ESG Specialist, and will give us some insights in how and what is measured at Inrate as well as different trends and developments in the sustainability field.
ESG ratings build the foundations for more sustainable investments and therefore the redirection of investments to sustainable business.
At the same time there’s criticism: The lack of standardisation, correlation and transparencyof ESG scores makes it difficult to compare companies and increase the risk of green washing. Different rating agencies measure differently as well as different things. Plus, focusing on operational risk instead of impact, ESG scores are criticised to paint a distorted picture of a companies sustainability efforts.