Sustainability Language

Sustainable finance & investment

ESG

The framework grouping environmental, social and governance factors used to assess companies' sustainability-related risks, impacts and practices.

Established · Version 0.1

Expert review openNo editor-accepted expert review yet

Definition

ESG stands for environmental, social and governance — the three clusters of non-financial factors used by investors, companies and regulators to assess sustainability-related risks, opportunities and impacts. The term was coined in the UN Global Compact's 2004 report 'Who Cares Wins', which argued that embedding these factors in capital markets leads to better outcomes.

References

Overview

What it means

ESG grew from earlier ethical and socially responsible investing traditions into mainstream finance after 2004, reinforced by the Principles for Responsible Investment (2006). It now spans data, ratings, funds, integration practices and reporting regimes — and has become politically contested, notably through the US anti-ESG movement, with critics questioning both its financial logic and its policy reach.

How it is used

Used in investment analysis, corporate strategy, disclosure regulation (CSRD/ESRS, ISSB) and stewardship; the term is applied loosely across very different practices, which fuels definitional debate.

Why it matters

ESG is the dominant organising frame for corporate sustainability and sustainable finance — understanding its scope and limits is prerequisite to most current debates. **Note:** The contested and politicised usage of the term (candidate 985) is treated here rather than as a separate entry; the related political backlash is covered under Anti-ESG Movement (ID 115).

Review

Public comments appear only after editor acceptance. Draft comments stay in the review queue.

0
How people contribute

Reviewers choose the definition or an overview paragraph, leave a comment or replacement, and attach evidence or a source link.

How comments are used

Editors compare reviewer cards side by side. AI may help find agreement, conflicts, unsupported claims and possible source issues.

What gets published

Only an editor-accepted synthesis changes the public page. Reviewer identities are shown only with consent and verification.

No verified experts yet

Submitted reviews stay private until accepted.

Endorse this definitionSuggest a revisionSubmit a wider review

Loading verified endorsements… Endorsements are not votes and never determine publication.

Endorse this definition

Endorse the exact version shown here. This is not a vote, and publication remains an editorial decision.

v0.1

Sign-in supplies your email for verification and necessary follow-up; it is not displayed publicly. We do not ask you to enter it again.

Sign in with a passwordless email link before submitting.

Review board

Comment on a specific line. Each reviewer stays separate until an editor accepts a merged draft.

1Separate reviewer cards

Each person comments on the definition or overview in their own draft card, with role, evidence and suggested wording kept together.

2AI comparison

AI can compare comments against the current text, flag conflicting claims, surface missing evidence and identify where reviewers agree.

3Editor synthesis

An editor merges compatible suggestions into a draft change, checks sources, records disagreements and decides what can be published.

Text to reviewChoose the exact definition or overview paragraph.
Reviewer commentDraft only. Not public until editor accepted.
Definition
Reviewer identityYour signed-in account identifies the submission. We use its email only for verification and necessary follow-up, and never display it publicly.
Before you submit

This proposal follows the editorial and AI-assistance rules. The live definition will not change until an editor accepts it.

  • Add the proposed wording or note.
  • Explain why the change is needed.
  • Ready
  • Ready

Sign in with a passwordless email link before submitting.

You can still save a draft, but completing these items makes editorial review faster. Multiple reviewers can suggest changes on the same text. Editors compare, merge, accept or decline them before any public change.