EY Research: Investors’ attitudes towards environmental, social and governance (ESG)

EY Research: Investors’attitudes towards environmental, social and governance (ESG)

information and nonfinancial reporting, as well as its role in their decision-making

EY Sustainability Advisory Services has issued its 4th research report into investors’ attitudes towards environmental,social and governance (ESG) information and nonfinancial reporting, as well as its role in their decision-making. This year’s study reveals a notable consensus on the importance of ESG or nonfinancial information in investor decision-making.Globally, investors expect more abundant and more useful reporting of material nonfinancial performance information of a consistently high quality.

 

Key points:

  • an increasing reliance on ESG;
  • increasing demand for consistent data;
  • while disclosures have improved, they remain uneven;
  • more concern over the physical risks of climate change;
  • demand for investment-level accounting standards
  • collaboration is critical to close the information gap.

 

What does this mean for organizations in Kazakhstan? The Government is making strong efforts to develop the Kazakhstan stock market, improve its liquidity and increase foreign investment. Large international institutional investors place strong reliance on ESG and non-financial information of issuers. Therefore, we believe there are four main areas that companies should consider:

  1. Establishing a structured materiality analysis process.
  2. Measuring social and environmental outcomes.
  3. Measuring long-term value.
  4. Reporting more comprehensively on all climate risks and engaging with stakeholders, including investors.

 

Contact information

For additional information,please contact the following professional:
Victor Kovalenko

Director, Climate Change and Sustainability Services

EY Kazakhstan

Tel.: +7 727 258 5960

Victor.Kovalenko@kz.ey.com

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