January 22, 2022

PwC 2021 Global Investor Survey

PwC 2021 Global Investor Survey

In its 2021 Global Investor Survey, PricewaterhouseCoopers examined the views of investors on how companies address ESG issues and how they consider ESG factors during the investment process.

The survey polled over 320 investment professionals from different industries and across various specialties. It revealed that ESG issues are becoming more significant and influential in making investment decisions.

According to the investors, climate is the most important ESG factor that they consider when making an investment decision. Other factors that investors consider when making an investment are employee health and safety, diversity, and executive compensation.

The report shows that investors are increasingly concerned about the lack of transparency regarding ESG issues. They also want companies to hold high-level executives accountable for their actions.

The survey also revealed that investors are concerned about the quality of ESG reporting from companies. Only 33 percent of investors describe the current ESG reporting as good. They also noted that if companies apply a single set of ESG standards, then investors would be better informed.

The survey also looked at the various sources of ESG information that investors rely on when making their decisions. Most of these include annual reports, investor presentations, and news announcements.

While many investors use ESG scores and ratings to filter possible investments, only a small portion of them rely entirely on the scores and ratings offered by ESG rating companies. They cited various factors such as the company's business model and environmental commitments as some of the top characteristics they look for in ESG reports.

To create confidence in the investors and the companies, organizations should improve the quality of their ESG reporting. Doing so would help investors gain a better understanding of the company's ESG issues.

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