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IMDR’s Journal of Management Development and Research 2022-23

stakeholder model (Sustainable Finance 2.0). Only a tiny percentage of financial organizations
priorities, social and environmental effects when reviewing investment or lending proposals. Impact
investors and values-based banks are among the frontrunners aiming for long-term wealth creation

Literature Review

Clark, G., Feiner, A., & Viehs, M. (2015). This study examines the relationship between sustainability
and financial performance. It provides evidence that companies with strong environmental, social, and
governance (ESG) practices tend to outperform their peers financially. The findings highlight the
business case for integrating sustainability into financial decision-making.

Scholtens, B., & Sievänen, R. (2013). This research explores the drivers behind socially responsible
investing (SRI) in Nordic countries. It identifies factors such as investor values, corporate governance,
and media coverage as influential in shaping SRI preferences. The study emphasizes the role of
individual and institutional investors in driving sustainable finance practices.

Eccles, R. G., Ioannou, I., & Serafeim, G. (2014). This study investigates the impact of corporate
sustainability on various organizational processes and financial performance. It demonstrates a positive
relationship between sustainability performance and operational efficiency, cost of capital, and market
valuation. The research highlights the potential benefits of sustainable practices for companies and their
stakeholders.

Sjöström, E., & Sun, L. (2018). Sustainable finance: This article provides an overview of the challenges
associated with integrating ESG considerations in the investment industry. It discusses issues such as
data availability, measurement frameworks, and the need for standardization. The study emphasizes the
importance of collaboration between stakeholders to overcome these challenges and advance
sustainable finance.

Tufano, P., & Heaton, J. (2021). This article explores the urgency of climate finance and the need for
increased investment in sustainable solutions. It discusses the scale of investment required to address
climate change and the role of financial institutions in mobilizing capital. The study highlights the
potential for innovative financial instruments and collaborations to accelerate the transition to a low-
carbon economy.

Scholtens, B. (2020). This review provides a comprehensive introduction to sustainable finance. It
covers topics such as the history of sustainable finance, the role of investors, sustainable investment
strategies, and policy developments. The article offers a broad understanding of the field and serves as
a valuable starting point for further exploration.

Research Method

A secondary data analysis based on the ESG report from 5 global organizations and 4 Indian
organizations

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