Remove Finance Remove Intangible Assets Remove Net Present Value Remove Unlevered Beta
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ESG Valuation Considerations – Top Down or Bottom Up?

Value Scope

The challenge is that it is difficult to value things that are not clearly defined and measured, with some sort of consensus. Intangible asset valuation concepts can and should be applied to unique ESG cash flows. This work can be used to reconcile and support an adjustment to the CAPM, then the WACC, via Alpha and Beta.

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ESG A Valuation Framework

Value Scope

The second inflection point was triggered by the “Fundamental Reshaping of Finance” open letter to CEOs on January 14, 2020, by BlackRock Chairman and Chief Executive Officer Larry Fink. “In Do ESG programs impact firm value? For example, in a recent valuation we completed, the mean unlevered Beta of a group of 10 comps was 0.58.