Refine
Year of publication
Document Type
- Working Paper (61) (remove)
Language
- English (61)
Has Fulltext
- yes (61)
Is part of the Bibliography
- no (61)
Keywords
- OTC markets (4)
- financial stability (4)
- Central Clearing (3)
- Counterparty Risk (3)
- Covid-19 (3)
- Credit Risk (3)
- Derivatives (3)
- Liquidity Provision (3)
- Loss Sharing (3)
- Sustainable Finance (3)
Institute
- Sustainable Architecture for Finance in Europe (SAFE) (61) (remove)
In this study, we unpack the ESG ratings of four prominent agencies in Europe and find that (i) each single E, S, G pillar explains the overall ESG score differently,(ii) there is a low co-movement between the three E, S, G pillars and (iii) there are specific ESG Key Performance Indicators (KPIs) that are driving these ratings more than others. We argue that such discrepancies might mislead firms about their actual ESG status, potentially leading to cherry-picking areas for improvement, thus raising questions about the accuracy and effectiveness of ESG evaluations in both explaining sustainability and driving capital toward sustainable companies.