AKFP Group

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AKFP Group Sustainability Actions

Explains ESG investing

ESG investing, which considers environmental, social, and governance factors, has faced some criticism in recent months over “greenwashing”. ESG investing involves considering non-financial factors when making investment decisions. This may mean choosing companies that are taking steps to reduce carbon emissions or have strong human rights policies. These ESG issues are reviewed alongside things like company performance and investment risk.

Warns about greenwashing

There’s also a risk of greenwashing. This is where an organisation makes an unsubstantiated or exaggerated claim about how environmentally friendly its products or services are. From an investment perspective, it can mean investments don’t have the positive effect intended.

Highlights transparency issues

At the moment, businesses and funds have very different criteria or ways of communicating, so it can be difficult to compare different investment opportunities against ESG factors. There have been calls for standardised reporting and greater transparency for both companies and funds in the sector.

Advises on spotting greenwashing

Many companies that want to appeal to ESG investors will use buzzwords to catch your attention. While phrases like “sustainable” or “eco-conscious” may make it seem as though these investments are right for you, you need to look beyond the label. When you’re looking at how companies operate, you’re likely to come across vague statements. For example, they may say they’re “working towards carbon-neutral operations”. However, without a time frame or a clear plan to achieve this, it means little.

What do our labels mean?

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Certified B Corporation

About AKFP Group

  • Status
  • Unverified
  • Employees
  • 5 - 25
  • Country
  • United Kingdom