On March 25, 2020 The Wall Street Journal reported that the “recent volatility in financial markets due to the coronavirus pandemic could provide investors with more of an incentive to grill companies on nonfinancial risks.
Environmental, social and governance investing was growing in popularity before the virus began to circulate, as investors flocked to companies that have taken steps to manage nonfinancial risks related to matters such as climate change, board diversity or human rights issues in the supply chain.
But the pandemic has demonstrated on a large scale the importance of other factors that are paramount to ESG investors. Among them: disaster preparedness, continuity planning and employee treatment through benefits such as paid sick leave as companies direct employees to work from home.
Investors are asking more questions about employee benefits, supply-chain management and other environmental, social and governance priorities, analysts say.”
You may read the article on The Wall Street Journal internet site.