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International Business Times UK
International Business Times UK
Business
Niloy Chakrabarti

What Does Greenwashing Mean in ESG Investing?

ESG SEC ESG investing
ESG greenwashing is widespread across industries and has impacted investor confidence over the years. (Credit: Randgruppe/Pixabay.com)

Environmental, social, and governance (ESG) investing is a hot trend among millennials and GenZ. It is a strategy to invest in companies that rank high on measures of their environmental and societal metrics and governance practices.

ESG investing backs companies prioritising the environment and human well-being in their daily operations. The financials of these firms are more susceptible to environmental and social factors.

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