Tag: social impact
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Water stress
Water stress Water stress occurs when the demand for water in a region exceeds the available amount or when poor water quality limits its use. This often happens in areas where freshwater resources are overused or under pressure from high population density, pollution, drought, or inefficient water management. Water stress can lead to negative impacts…
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Triple bottom line
Triple bottom line The triple bottom line is a business framework that evaluates a company’s performance based on three key dimensions: people, planet, and profit. This concept states that companies should not solely focus on generating profit— the standard “bottom line.” By balancing these three areas, the triple bottom line framework aims to promote sustainable…
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Stewardship code
Stewardship code A stewardship code is a set of principles and guidelines designed to encourage institutional investors to act as responsible stewards of their investments. It outlines best practices for engaging with companies on issues such as governance, environmental impact, and social responsibility. The first stewardship code was introduced in the United Kingdom in 2010,…
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SIN Stocks
SIN Stocks SIN stocks refer to shares of companies that operate in industries considered socially irresponsible or unethical, such as alcohol, tobacco, gambling, weapons, or adult entertainment. These industries are often viewed as profiting from activities that can have negative social or environmental impacts. Despite their controversial nature, SIN stocks can be attractive to some…
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SDG Funds
SDG Funds SDG Funds refer to investment vehicles or financial instruments that specifically aim to support the achievement of the United Nations Sustainable Development Goals (SDGs). These funds allocate capital to projects, companies, or initiatives that contribute to sustainable development in areas such as poverty reduction, clean energy, education, gender equality, and environmental protection. The…
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Principal Adverse Impact
Principal Adverse Impact Principal Adverse Impact (PAI) indicators refer to a set of metrics that measure the negative effects of investment decisions on sustainability factors such as the environment, social issues, and governance (ESG). These indicators are part of the Sustainable Finance Disclosure Regulation (SFDR) and are designed to help investors understand how their investment…