THE FUTURE OF ENVIRONMENTAL, SOCIAL, GOVERNANCE (ESG) FACTORS: EMERGING TRENDS AND THEIR POTENTIAL IMPACT ON GLOBAL MARKETS

As non-financial reporting has been gaining recognition worldwide, studying its role in shaping the global markets becomes essential. In fact, previous research shows that understanding its trajectory is indeed paramount for policymakers and investors. The present paper covers the emerging new trends of the Environment, Social and Governance (ESG) factors and reveals the evolving stakeholders’ expectations. For conducting this research, a thorough examination of how these advancements are influencing investors’ behaviour as well as global market dynamics. By the means studying the existing literature on the subject, the article intends to present an extensive overview of how ESG factors are likely to transform the global market. The study clearly reveals that businesses that prioritize sustainability, set themselves up for long-term financial success. Moreover, the future investing strategies will definitely be shaped by regional variations in the importance of ESG. To conclude, the paper sheds light on the opportunities as well as various challenges that are faced by the stakeholders while adopting ESG principles in a company.