In this paper, analysts Doris Meng and Daniel Hammarstedt investigate the environmental risks and opportunities for the OMXS30 companies.
Environmental considerations were once seen as tangential pieces of the economic equation, but issues such as climate risk, water scarcity, extreme temperatures and carbon emissions are now threatening to dampen economic growth. The state of the environment can directly affect a company’s competitive positioning. The understanding of environmental risks and opportunities has become a core component of ESG- that is, investing practices in environmental (E), social (S) and governance (G) factors.
This report seeks to untangle the “E”- factors of Sweden’s biggest companies. Each company is given an environmental risk score which enables a comparison of environmental challenges across different industries.