Quantitative Methods for ESG Finance by Cino Robin Castelli & Cino Robin Castelli

Author:Cino Robin Castelli & Cino Robin Castelli [Shmatov, Cyril & Castelli, Cino Robin]
Language: eng
Format: epub
ISBN: 9781119903819
Publisher: Wiley
Published: 2022-10-15T00:00:00+00:00

5.2 CORPORATE ESG REPORTS

As we have seen, a predominant portion of the ESG finance data that requires processing is in the form of unstructured text from corporate disclosures (accounting reports, as well as sustainability/ESG reports and press releases, etc.), government-issued reports, news media articles about corporations and governments, social media postings of diverse nature and characterization, and other written sources of disparate kind.

At the time of writing of this book, the disclosure of ESG information by corporations remains entirely a voluntary exercise, with the proportion of firms choosing to do so steadily rising. It is the general consensus that these disclosure requirements will eventually become mandatory, which will also cause the typology and detail of the disclosures to become more standardized.

For some insight on the views of regulators on this topic, please refer to the footnote link by the Securities and Exchange Commission (SEC), which evaluates the approach and pros and cons of implementation of ESG disclosures for publicly traded US corporations as of March 2021.6 Additionally, in March 2022, the SEC issued a press release proposing “Rules to Enhance and Standardize Climate-Related Disclosures for Investors.”7

In the remainder of this chapter, we shall demonstrate a variety of applied text analyses of corporate ESG reports to familiarize the reader with the toolkits available to them. The exercises in this chapter draw inspiration from a Databricks seminar8 that provides an interesting additional read.

Download

Copyright Disclaimer:
This site does not store any files on its server. We only index and link to content provided by other sites. Please contact the content providers to delete copyright contents if any and email us, we'll remove relevant links or contents immediately.