Industry Examples
Looking for inspiration? Here are some examples of ESG initiatives implemented by leading financial services companies.
G: Starting in 2022, Mastercard will tie all employee bonuses to the company achieving its ESG goals related to: (1) carbon neutrality, (2) financial inclusion, and (3) gender pay parity.
S: In an effort to expand access to inclusive banking products and services that can help advance economic progress, especially for unbanked populations, Citi has announced plans to, by this summer, eliminate overdraft fees, returned item fees, and overdraft protection fees.
G: Nasdaq is implementing a board diversity rule that will require listed companies to report on the diversity of their board and generally have two diverse directors (including one who self-identifies as female and one who self-identifies as either an underrepresented minority or LGBTQ+) or explain why they don’t.
E: Not only has Bank of America set a net zero 2050 target, but it leads in renewable energy use – sourcing more than 100% of its energy from renewables.
E: Private equity firm Vista has announced that each of its majority-owned portfolio companies have agreed to measure greenhouse emissions, set a reduction target, and offset emissions on an annual basis.
E: Lloyds, Britain’s largest domestic bank, has committed to stopping the direct financing of new oil and gas fields.
G: A new Morgan Stanley Investment Management private equity fund, focused on climate solutions, to tie 50% of incentive compensation to meeting its envrionmental objectives.
E: Deloitte is working to add a voluntary climate change clause to its client contracts to encourage the firm and its clients to explore ways to make engagements more sustainable.