ESG: 'Doing Good or Sounding Good?'

Capital invested in environmental, social, and governance (ESG) investment products are forecast to reach $41 trillion by the end of the year. Aswath Damodaran, professor of corporate finance and valuation at the NYU Stern School of Business, is one of the foremost academic critics of ESG. Last month, I sat down with Professor Damodaran to discuss the origins of ESG and its growth and future; corporate purpose; the concept of “doing well, by doing good;” and long-term value creation.