Environmental, Social, and Governance Practice

The Environmental, Social and Governance (ESG) approach looks at how governments and enterprises take into account several key issues that will impact the future risks associated with an activity, process, enterprise, or policy. ESG risks are also emerging as key risks for the financial sector and in supply chains and are also routinely required as part of the reporting requirements.

The importance of ESG indicators and financial disclosure regulations have taken significant steps in recent years and the ESG landscape is changing rapidly. For example, over the past few years, European Union and China, have increased discussion on the obligations of financial entities in environmental and human rights reporting obligations. As assets under management by the United Nations Principles for Responsible Investment (PRI) signatories surpass US$1 trillion in 2020, the appetite for ESG advice will undoubtedly continue to expand in the coming years.

ESG is crucial to ensure that investors and companies can identify potential risks and liabilities for the actions. This is a growing area of law and advice work that requires skilled and multi-disciplinary practices to be able to provide relevant, timely, and practical advice.