What do investors think about sustainability issues? Do these issues influence their investment decisions? The need to mitigate risks, enhance long-term performance and attract younger investors is increasingly pushing investors to consider sustainability issues in their investment decisions.
With this in mind, how are companies and legislation responding to this changing scenario? At the beginning of this year we discussed the increased importance of ESG (Environment, Social, Governance) issues for investors and how this leads to increased internal collaboration between the legal affairs, investor relations, corporate communications and sustainability teams. EU legislation is now also pushing companies to address non-financial issues. By December 2016, EU Member States should transpose the rules on non-financial reporting into national legislation (Directive 2014/95/EU).