PRACTICE NOTES
Environmental, social, governance (ESG) policy
An ESG policy is the centrepiece of an organisation’s ESG strategy. It serves as a succinct statement of intent from an ESG perspective, setting out at a high level the focus areas and the commitments to be pursued. Some pledges will relate to processes, for example ensuring ESG factors are built into business decision-making and, for financial institutions, into investment decision-making or a Responsible Investment Policy. Others may concern defined ESG topics, such as adopting Net Zero, Zero Waste or Zero Harm targets. It can also reference the organisations, frameworks and/or regulations that have informed the approach or to which it is committing. For more on ESG, see the following Practice Notes:
ESG—new starter guide
Sustainable business and environmental, social, governance (ESG)—introduction for companies and advisers
ESG and sustainability collection
A Responsible Investment Policy is a
Environment