The 2022 megatrends of sustainability: ESG investments and environmental compensation are the new buzzwords of finance
The financial industry is undergoing a Copernican revolution: sustainability has now become an inescapable focus of investment; the traditional assessment of risk and return is no longer sufficient. It is estimated that on average 20 percent of global profits (80 percent for sectors most exposed to climate risk) are at risk if emissions fees were to rise to levels consistent with the Paris goals. Hence the strong expansion of this slice of the market: according to Bloomberg Intelligence data, global Esg assets could reach $53 trillion by 2025, with Europe leading the way. Impetuous growth driven precisely by increased investor demand, as well as government initiatives to support green growth and recent regulatory frameworks.
Indeed, the European Union has responded to this soaring growth with a far-reaching regulatory strategy aimed at increasing transparency, preventing greenwashing, and making environmental, social, and governance issues a primary focus of financial institutions and investors. In the future, therefore, there will be new investment opportunities in all asset classes as companies are moving to address many of the most pressing issues, going beyond reducing their climate footprint.
Companies are developing innovative solutions in the areas of recycling, water purification, energy infrastructure and carbon capture. This is complemented by new value creation models related to waste recovery and third sector optimization.
This is Regusto’s goal: to generate new financial value from waste recovery through certified redistribution to nonprofits. Transactions made on the platform, in return for not disposing of waste, generate CO2 credits that are useful for offsetting those economic sectors that pollute the most, which are held accountable for their polluting emissions through specific taxation and the purchase of credits and shares that balance the climate impact generated.
