The world of finance can sometimes be a little jargon-heavy, and ethical finance is no different. Our glossary is here to help.
- ESG: environmental, social and governance factors. ‘ESG’ is used to denote either these factors themselves, or their integration into financial decisions. The use of ‘ESG’ indicates that a company is using good performance in these areas as an indicator of value and risk, and does not necessarily pursue them for their own sake
- SRI: socially responsible investment. ‘SRI’ denotes investment made in a socially responsible manner