Investors Face ESG Shock as Risk Mispriced, Cambridge Study Says

At first glance, ESG might seem to be just another acronym in the corporate world. But behind these three letters — alluding to environmental, social and governance criteria — there is a profound change in how to understand the professional role. It is no longer enough to master technical skills: training under this approach means teaching new generations to take charge of the impacts their decisions have on the environment, people and instituti…

Investors Face ESG Shock as Risk Mispriced, Cambridge Study Says

Investors lack financial incentives to chase sustainable targets, leaving them more exposed to losses once sentiment shifts, according to a study by academics at the University of Cambridge.

Investors should address the risk from undisclosed hazardous chemicals in investment portfolios

In February 2025, consumers reacted to reports that toxic flame retardant chemicals had been found in black plastic spatulas made from recycled plastic. Sales of black nylon utensils plummeted over 20%, while sales of stainless steel and silicone products soared 13% and 70%. This sharp consumer reaction highlights a truth: Investors are exposed to financial risk from chemical hazards that many companies fail to identify, disclose, or address. Th…

9 visits The recent column by Axel Kaiser published by the Foundation for Progress, entitled “The myth of ESG”, raises a severe criticism of the corporate sustainability approach known as ESG (Environmental, Social and Governance). According to Kaiser, the ESG would be an ideological imposition that diverts companies from its essential purpose: maximizing profits for shareholders. However, this vision not only oversimplifies the phenomenon, but …

They are characterized by the intention to create benefits beyond economic performance and seek to solve social and/or environmental problems, such as the fight against poverty, lack of access to education or health and climate change, among other things. Read more

Investors face ESG correction as risk mispriced, study shows

Investors lack financial incentives to chase sustainable targets, leaving them more exposed to losses once sentiment shifts, according to a study by academics at the University of Cambridge.