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Besides, although private companies are not initially in scope, they will feel pressure from their impacted customers. Moreover, companies will use voluntary frameworks and surveys such as GRI, SASB, CDP, UNGC, and Ecovadis to answer requests from customers, investors and other stakeholders.
In addition, these indices have mostly under-performed their equity market benchmarks over recent years and investors may be averse to further investment in the water theme as a result. Global water scarcity is well-documented and creates significant financial risk to investors who fail to account for water risk in their portfolio.
Sustainability questions are being embedded into requests for proposal documents and onboarding materials. They turn to Fragos’ team for tasks such as assembling metrics for CDP disclosures, developing science-based targets, penning sustainability reports or helping a board tie emissions reductions to C-suite performance incentives.
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