#WhyESGMatters: The Handbook

Sourced from HSBC's global network of over 300 analysts, this Handbook aims to help readers broaden their knowledge of key areas of the increasingly important and fast moving world of ESG.

Introduction

At last year’s annual UN Climate Change Conference (COP26), limiting global temperature increases to 1.5°C and setting net-zero emissions targets became the benchmark for many economies. Yet governments and corporates must start to live up to their net zero rhetoric, as COP27 in November will no doubt increase the pressure on global leaders to revise climate pledges, deliver on climate finance and raise the profile of adaptation.

We look at the climate progress made and what investors should anticipate ahead of COP27. We also discuss the latest report from the UN climate science body, on the impacts, adaptation and vulnerability of ecosystems, biodiversity and human communities as a result of climate change. Together these contribute to the urgency of climate actions in 2022.

In this second edition of the Handbook, we add sections discussing the urgency of climate action in 2022 and the importance of ESG factors on bond investment. These complement a range of other topics, from how “green” hydrogen is set to play a more significant role to combat climate change to finding solutions to plastic pollution.