Exploring the Impact of Environmental, Social, and Governance Ratings in Investment Decisions During Uncertain Times: A Focus on the Energy Industry

Mamdouh Tlaty; Marouane Nakhcha; El Mahdi El Idrissi; Younes Ouahi

Authors

Mamdouh Tlaty National School of Commerce and Management, Ibn Tofail University, Kenitra, Morocco, Campus universitaire Laboratory for Research in Organizational Management (LARSGO)
Marouane Nakhcha National School of Commerce and Management, Ibn Tofail University, Kenitra, Morocco, Campus universitaire Laboratory for Research in Organizational Management (LARSGO)
El Mahdi El Idrissi National School of Commerce and Management, Ibn Tofail University, Kenitra, Morocco, Campus universitaire Laboratory for Research in Organizational Management (LARSGO)
Younes Ouahi Rabat Business School International University of Rabat, Morocco BEAR (Business, Économie et Actuariat) Lab

Keywords:

ESG, Financial Crisis, Investment Decision, Energy Sector, Portfolio Risk

Abstract

With sustainability awareness on the rise around the world, and as global awareness of sustainability grows, it's inevitable that the financial sector will have to adapt. More than just a numbers-based assessment, modern finance is faced with the integration of environmental, social and governance (ESG) standards. Our research explores how these ESG standards influence investment decisions, especially in uncertain contexts such as global conflicts or pandemics. The growing importance of these considerations is underlined by regulatory developments, which underscore the need for investors, particularly institutional and corporate investors, to factor ESG criteria into their decision-making processes.

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Exploring the Impact of Environmental, Social, and Governance Ratings in Investment Decisions During Uncertain Times: A Focus on the Energy Industry

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