By Azish Filabi, J.D, M.A.
In the latest in a series on ethical investing and corporate governance, Azish Filabi, the Executive Director of The Maguire Center for Ethics at the American College of Financial Services, discusses the elusive definition of “materiality” and what it means for ESG investing. She believes a key issue is whether advocates for ESG can provide a defensible rationale for why activities or decisions that used to be considered externalities in business—greenhouse gas emissions, labor rights, fair wages—are issues that companies should be responsible for in their own operations. Among other things, she reviews the opinions of various current and former SEC commissioners, and looks at emerging qualifiers around materiality today.
To read the entire article, click here.