Paul Hastings’ Post

The UN Working Group has a clear message for institutional investors: put human rights front and centre in your ESG and investment practices! 🌍💼 The UNWG's recent report 'Investors, environmental, social and governance approaches and human rights' found a series of misalignments between investment practices and human rights expectations. To turn this trend around, they recommend that investors: 1️⃣ Adopt transparent and consistent ESG methodologies aligned with human rights standards 2️⃣ Recognise the interconnectedness of E, S and G criteria in ESG, and embed human rights considerations into each of these factors 3️⃣ Engaging meaningfully with stakeholders and rightsholders as part of their stewardship, impact investment and regular risk screening practices 4️⃣ Further embed human rights due diligence by integrating human rights considerations and commitments into policies and investment decisions, in alignment with the UNGPs, OECD guidelines, and the Principles for Responsible Investment. To drive real change, adopting double materiality reporting is also needed. Additionally, as advisors, data providers, real-sector companies and civil society, we all need to push for the alignment of ESG standards with human rights frameworks such as the UNGPs! 🌍💼 Read our summary here: https://lnkd.in/ePZ-s-E2 #ESG #HumanRights #SustainableInvesting #UNGPs #ImpactInvesting #DoubleMateriality

🌍Investors, ESG, and Human Rights: Aligning for Impact 📊 Sharing some key insights from the latest report by the UN Working Group on Business and Human Rights, which explores the alignment between Environmental, Social, and Governance (ESG) approaches with the UN Guiding Principles #UNGPs. 🔍 Key Highlights: - Diverse and inconsistent ESG practices risk greenwashing and human rights washing. - Strong, consistent standards and regulations are essential. - Double materiality approach can ensure financial and impact materiality. - ESG ratings need more transparency and human rights data. - Human rights should be central to investment decisions. 💡 Recommendations for Stakeholders: States: - Strengthen ESG regulations and ensure policy coherence. - Ensure access to remedies for affected rightsholders. - Support ESG approaches that account for human rights. Investors: - Embed human rights in policies and strategies. - Conduct due diligence and engage stakeholders. - Advocate for improved and standardized human rights data. Other Actors: - Improve data quality and transparency. - Educate on human rights in ESG. - Align ESG indexes with UNGPs. 🤝 The guide clearly highlights the incresing pressure on investors to incorporate Human Rights considerations in their investment decisions. A collaborative effort is important to achieve meaningful access to remedies and ensure the protection of human rights in investment activities. Link to full guide - https://lnkd.in/eqCH4MDD Link to Seminar with UN Working Group, Principles for Responsible Investment, and Institutional Investors- https://lnkd.in/e7RyATQu #ESG #HumanRights #BusinessandHumanRights #Sustainability

I have to be honest, Not long ago, I didn't even know what a carbon credit was. That’s not a shame, in my opinion; this is a complex and integrative industry that requires some research and humility for those who think they know, but don’t really. Not only complex and complete, it is a must-action industry that needs multiple passionate professionals who are truly willing to fight climate change. Yesterday, the Women In Carbon was launched in Brazil, my home country. I had this incredible opportunity to listen to and learn from these powerful and transformational women about the #carbonmarket, its challenges, and trends. Thank you Pinheiro Neto Advogados for hosting this essential discussion, and thank you to Dr. Monique Vanni, Janaina Dallan and Marta Giannichi, PhD . For those who are humble enough to learn, my advice is this: if you don't yet know much about it but believe this market is urgent, start now. Begin by reading, studying, and watching videos. Plentiful materials and many renowned experts are discussing this topic. Get involved. This cause belongs to all of us.

A report by the UN Working Group on Business and Human Rights underscores the need for significant improvement by most investors in respecting human rights. It reveals that ESG and sustainability approaches vary widely among different investors, investment strategies, and asset classes. This variation, coupled with the absence of uniform definitions and global standards, creates a risk of greenwashing and "rightswashing." Investors need detailed data on the companies or organizations they invest in, showing their approach to human rights across all environmental, social, and governance (ESG) criteria.

Investors: Respect Human Rights in Your ESG Strategies As ESG investments surge, we must not overlook the importance of human rights. The UN Working Group on Business and Human Rights highlights a critical gap: many investors focus on environmental and governance aspects while neglecting the social dimension. To prevent ‘rightswashing,’ investors must integrate human rights into their ESG criteria. Key actions: Integrate human rights into ESG decisions. Engage with stakeholders to understand impacts. Monitor and report on human rights performance. Support policy initiatives promoting human rights. Promote education about human rights in ESG. Let’s ensure our investments truly benefit people and the planet. #ESG #SustainableInvesting #HumanRights #ResponsibleInvesting #Finance

This research from Harvard Business School takes a look at how organisations striving for an #esg rating can often overlook the importance of #governance. But the flipside is that those who focus on creating diverse boards are more likely to achieve a higher #environmentalsocialandgovernance rating. #environmentalsocialgovernance

We published our 2023 ESG Report! We are excited to share the results of our activities throughout 2023 and the progress towards a fairer, more prosperous and sustainable future, aligning our actions with the commitments and goals we have publicly assumed. Click on the link and check out the full report:  https://lnkd.in/dBXixEbW #ESG2023Report #Sustainability #Governance #SocialResponsibility #Transparency

Quite interesting article, Whilst not arguing with climate change (obvious, looking at the current weather situation), touches the ESG concept itself. "Keeley cites a research finding that there is “no evidence that socially responsible investment funds improve corporate behavior.” Moreover, it’s difficult to even assess the impact of ESG strategies since “ESG scores among leading rating agencies correlated only 54 percent of the time.”, How to Really End ESG https://flip.it/VppqA7

🌍 Embracing Human Rights in ESG Investments: Bridging the Gap 🌱 As global interest in Environmental, Social, and Governance (#ESG) investments surges, it's crucial to recognize the significant gap in integrating human rights considerations. A recent report by the UN Working Group on Business and Human Rights has underscored this gap, emphasizing the need for investors to prioritize both people and the planet in their decision-making processes. Robert McCorquodale's recent article provides actionable steps for investors and policymakers to ensure that their investment practices align with the UN Guiding Principles on Business and Human Rights. By embedding human rights into ESG frameworks, we not only enhance ethical standards but also drive sustainable outcomes for communities worldwide. As we navigate towards a more inclusive and sustainable future, let's commit to integrating human rights considerations into our ESG strategies. Together, we can harness the power of responsible investing to create positive social impact while safeguarding our planet. #ESGInvesting #HumanRights #SustainableFinance #UNGuidingPrinciples #ResponsibleInvestment #GlobalImpact

ESG Today is reporting an important trend: Three quarters of public companies plan to invest in ESG reporting tech and tools over next year, Deloitte survey finds. Approximately three quarters of public companies report that they are likely to invest in new technology or tools to help improve their ESG disclosure capabilities over the next year, as nearly all companies are preparing to meet increased reporting requirements, yet data quality remains the top ESG challenge, according to a new survey released by global professional services company Deloitte. The report found that virtually all – 99% – of companies are preparing for increasing disclosure requirements, following the release of a series of new regulatory sustainability reporting mandates and standards, including the EU’s CSRD, the IFRS’s ISSB standards, California’s new climate reporting laws, and the SEC’s climate disclosure rule. Do you need to upskill yourself about ESG Reporting and regulatory compliance? Join to interact with our experts on August 9th's Women in Cleantech & Sustainability Event: The ABCs of ESG Reporting! I'm delighted to moderate our workshop discussion with our experts: Olubamise Onabanjo and Olga Terets, of Morrison Foerster. Register here: https://lnkd.in/dmJwaY76 Is your company an ESG Reporting Firm and seeking business connections? Contact me to become an event sponsor! pam@greentrainingassociates.com We are an inclusive community and welcome women and allies! #ESG #Sustainability #CorporateSustainability #Corporatefinance #renewableenergy #climatechange #sustainabilityleadership #ESGReporting