THE ROLE OF ENVIRONMENTAL, SOCIAL AND GOVERNANCE (ESG) FACTORS IN ASSESSING CORPORATE RISKS

Abstract

With the rapid inclusion of ESG aspects in the strategic management of companies, there is an increasing amount of scientific literature devoted to analyzing the relationship between the financial performance of companies and different types of risks with ESG indicators. The purpose of this study is to reveal and assess the impact of ESG indicators on corporate risks. The study uses methods of analysis and synthesis of scientific literature, comparison and generalization. The results of the study show that the impact of ESG on corporate risks is not unambiguous - it depends on the company's sector, the period under study, the country or the methodology of the rating agency.