Globe and Mail: Alison Babbitt discusses the ESG framework and how companies use it for risk management

Critics slap ‘woke’ label on responsible investing

Many companies have embedded the environmental, social and governance (ESG) framework in their strategy and value system. They use ESG to assess risks, mitigate them, and demonstrate to shareholders what they care about. ESG corporate reporting is used to assess a company’s long-term sustainability. It is also behind responsible investment growth. But there’s growing skepticism around the ESG framework and whether it has a real impact. Many accuse companies of greenwashing or misleading shareholders about their environmental goals and achievements. Alison Babbitt, our Canadian Co-Head of Environmental, Social, and Governance, spoke to journalist Daina Lawrence about how companies use ESG to build resilience.