Business Engineering’s Insight: CFA’s Perspective on Sustainable Investing
Business Engineering, as known as BE provides comprehensive insight on doing business with strong engineering. BE intertwines trilogy of Operations & Systems Engineering; Business & Finance; and Information and Communication Technology (ICT). CFA, known as Chartered Financial Analyst is one of important aspect for Business Engineer to be certified in the Business and Finance domain.
This article conveys further elaborated perspective of the aforementioned Sustainable Investing. To some extent this article constitutes the wider elaboration of Environmental Social Governance (ESG). This article is originated from source and adapted from https://www.cfainstitute.org/en/research/esg-investing/sustainable-investing and https://www.youtube.com/watch?v=LirXHCKTek8
Why Is Sustainable Investing Important?
Interest in sustainable investing continues to grow, and the pressure is on for investment organizations to move toward the sustainable investing model. In an era when the investment industry is challenged by rising end-client and regulatory expectations and challenging economics, the alternative of maintaining the status quo leaves the industry vulnerable to decline.
The next stage of development will depend heavily on industry leadership and innovation in investment thinking and practice, as well as data management. If these are present, the future is exceptionally bright.
CFA Institute Is Committed to Sustainable Investing
As the largest global association of investment professionals, CFA Institute has committed to the development of sustainable investing and ESG investing and analysis through a variety of efforts including the following:
- Educating investment professionals via a specialist certificate, professional development, practitioner-focused research, and the CFA Program curriculum: In the next edition of the curriculum, ESG content will increase by 130%.
- Performing ongoing research in the field of sustainable investing, with recent reports such as Climate Change Analysis in the Investment Process and ESG and Responsible Institutional Investing around the World.
- Creating standards to improve product transparency and comparability in investor reporting, with the CFA Institute ESG Disclosure Standards for Investment Products expected in late 2021
- Supporting company reporting efforts by providing the investor view on advisory committees and working with accounting standard setters to look for harmonization opportunities