How ESG Ratings Can Affect a Firm’s Cost of Equity
Reynolds Holding
AUGUST 2, 2023
2019) , for example, strong ESG performance correlates positively with higher equity returns and a reduction in downside risk. Embracing sustainable practices may introduce new risks, such as regulatory changes, lawsuits, or reputational issues. Sussman (2019). Nuttall (2019). RESOURCES Derwall, J., Guenster, R.
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