According to the experts who spoke at a webinar organised by the Chartered Institute of Stockbrokers , in partnership with Chartered Institute for Securities and Investment , aside from offsetting the negative effects of environmental challenges, sustainability has become a major tool deployed by portfolio, asset managers and other investment advisers to recommend profitable companies for their clients.
Chairman, Bond Forum and Capital Markets Pathway Qualifications Assessment Board, Chartered Institute for Securities and Investment in the United Kingdom, Neil Brown, said there was a need for companies to entrench sustainability in their businesses to promote good governance and community relations.
He urged companies to identify new opportunitie whil embedding sustainability considerations into their business to avoid and minimise any negative impacts.They should also collaborate with stakeholders to raise awareness, build capacity, manage risks, develop solutions, promote finance of priority sectors, report value of investments made and support received.”
Brown noted that physical and transition risks would drive changing valuations for sectors and stocks while urging investment advisers to ascertain what drives the appetite of their clients in any investment opportunity.