ESG

ESG stands for Environmental, Social, and Governance—criteria used to evaluate a company's impact and how responsibly it operates. Environment considers factors like climate change, resource use, and pollution. Social looks at how a company treats employees, communities, and customers. Governance examines leadership, ethics, board structure, and transparency. Investors use ESG to assess a company's sustainability and ethical practices, aiming to support organizations that prioritize positive social and environmental impact alongside financial performance. Overall, ESG helps identify responsible companies that balance profit with societal and environmental well-being.