We believe that impact and sustainability require a strategic approach just like any other business or financial objective. They must be integrated into an organization’s structure, processes and culture – bearing in mind that they translate into both risks and opportunities, with positive and negative impacts. 

Across AFI and in our partnerships with financial institutions, RISK addresses sustainability risks as well as sustainability-related regulatory developments (such as the EU Sustainable Finance Action Plan), raising awareness and understanding of the emerging landscape of ESG-related regulations and their implications for both investors and PFIs as their investees. For example, in June 2022 we facilitated a webinar under the EaSI Technical Assistance Webinar Series organized by the Microfinance Conference (MFC) and co-funded by the EU. We aim to guide our partners to understand the interdependency of their impact objectives and their exposure to sustainability risks in order to manage them optimally. 

ESG ratings are causing much confusion and criticism although many investors and financial institutions use them. How come that some companies can achieve a top rating and still have negative real-world impact? What are ESG-ratings all about if the results for one particular company can be so different? How can a basic understanding of the methodology prevent comparing apples and oranges?

These and other questions on ESG ratings have been discussed by Yannick Rust, Director of ESG Risks & Impact at Agents for Impact (AFI), in a podcast, where she gives an insight into practical examples, market trends and the value added of AFI. Please find the full interview here

Since 2019, AFI performs plausibility checks of ESG ratings for customers in the financial services industry like HANSAINVEST. Our expertise and experience with the Agents for Impact Sustainability Rating (AFISAR©) based on the SDGs represent an immeasurable asset in this respect.

Want to know more about ESG ratings and our sustainability services? Please contact Yannick Rust Director of ESG Risks & Impact yannick.rust@agentsforimpact.com!