Five ways that ESG creates value (McKinsey & Co)

1. Top-line growth (A strong ESG proposition helps companies tap new markets and expand into existing ones)

2. Cost reductions (A major water utility achieved cost savings of almost $180 million per year thanks to lean initiatives)

3. Reduced regulatory and legal interventions

4. Employee productivity uplift (Positive social impact correlates with higher job satisfaction—when companies “give back,” employees react with enthusiasm)

5. Investment and asset optimization (Taking proper account of investment returns requires that you start from the proper baseline. When it comes to ESG, a do-nothing approach is usually an eroding line, not a straight line) ;

https://www.mckinsey.com/business-functions/strategy-and-corporate-finance/our-insights/five-ways-that-esg-creates-value