Core Module Information
Module title: Foundation of Sustainable Finance and Investing

SCQF level: 11:
SCQF credit value: 20.00
ECTS credit value: 10

Module code: FIN11137
Module leader: Olakunle Olaboopo
School The Business School
Subject area group: Accounting and Finance
Prerequisites

There are no pre-requisites for this module to be added

Description of module content:

This module provides a comprehensive foundation in environmental, social, and governance (ESG) factors, delving into their increasing importance in business, finance, and investment decision-making. The course begins with an introduction to ESG principles and their broader implications for firms, stakeholders, and society, laying the groundwork for understanding these factors' critical role in modern business practices. You will explore environmental factors, such as climate change, resource management, and carbon emissions, assessing how these issues shape corporate strategies and affect stakeholder relationships. The module covers social factors, including labour rights, diversity, and community engagement, and examines their potential impacts on firms and society. Additionally, governance factors, particularly corporate ethics, board structure, and transparency, will be analysed, with a focus on their influence on business operations and stakeholder trust.A key component of the course is a review of corporate social responsibility (CSR) theories, offering a deeper understanding of how businesses can address societal and environmental challenges. The module also introduces Environmental Social and Governance (ESG) scoring systems, exploring the methodologies employed to evaluate corporate sustainability and performance. You will examine the role of sustainable finance in tackling environmental and social issues, with special attention given to financial instruments like green bonds, impact investing, and sustainability-linked loans. The course equips you with the tools to analyse and integrate ESG factors into investment decision-making, ensuring you can apply these concepts in practical financial contexts. Furthermore, you will gain insight into sustainable finance markets and instruments, learning how these mechanisms help drive the shift toward more responsible investment strategies. The module also covers the United Nations Sustainable Development Goals (SDGs), highlighting their relevance in integrating ESG considerations into corporate and investment practices.In addition, you will be introduced to the econometric analysis of climate change, with a focus on understanding its economic implications through data and statistical methods. You will also explore the econometric analysis of climate change's impact on asset pricing, examining how environmental factors can influence financial markets and asset values.By the end of this module, you will have developed the knowledge and skills necessary to analyse sustainable finance markets critically, incorporate Environmental, Social, and Governance (ESG) considerations into investment decisions, and understand the broader implications of these factors for business and society.

Learning Outcomes for module:

Upon completion of this module you will be able to

LO1: Critically discuss Environmental, Social and Governance(ESG) factors and their material impact on corporate performance.

LO2: Critically evaluate the theories of Corporate Social Responsibility and their implications for corporate sustainability performance.

LO3: Conduct a comprehensive analysis and critical appraisal of the role of sustainable finance in addressing Environmental, Social, and Governance (ESG) challenges

LO4: Conduct an extensive appraisal of current global regulatory frameworks' influence, scope, and effectiveness in shaping and advancing sustainable finance and investment practices.

Full Details of Teaching and Assessment

Indicative References and Reading List - URL:
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