A common-sense approach to corporate purpose, ESG and sustainability
The global push for sustainability has already proven to be a game changer that is altering the behavior of both institutional investors and companies. While investors struggle with the challenge of integrating ESG factors into their investment decisions, companies willing to define a meaningful corporate purpose and exploit the full potential of sustainability reporting can achieve important goals:
- Do a more effective job managing relations with institutional investors and shareholders;
- Reshape corporate reporting to provide a holistic picture of the business and its value drivers;
- Direct shareholders’ attention to the company’s unique characteristics and values;
- Designate company-specific performance metrics linked to business strategy and value creation;
- Reduce investors’ reliance on external one-size-fits-all standards and inappropriate metrics;
- Reduce vulnerability to shareholder activism.
The key to achieving these goals is suggested in the central concept at the heart of the BRT Statement: “While each of our individual companies serves its own corporate purpose, we share a fundamental commitment to all of our stakeholders.”
Download the attachment below to read our Chairman's Client Memo.