
ESG (Environmental, Social, and Governance)
ESG stands for Environmental, Social, and Governance, a framework used to evaluate a company's ethical impact and sustainability practices. - **Environmental** focuses on how a company interacts with nature, including its carbon footprint and waste management. - **Social** addresses its relationships with employees, customers, and communities, including diversity, labor practices, and human rights. - **Governance** examines the company's leadership, business ethics, and transparency. Investors and stakeholders use ESG criteria to assess risks and opportunities, with the belief that responsible practices can lead to better long-term performance and positive societal impact.