ESG (Environmental, Social, and Governance) standards are a set of criteria used by investors and other stakeholders to evaluate a company's sustainability and social responsibility practices. These standards provide a framework for assessing a company's performance on a range of ESG issues, including climate change, labor practices, human rights, board diversity, and business ethics.
ESG standards are typically designed to be comprehensive and forward-looking, taking into account a company's current ESG performance as well as its potential future impact. Some ESG standards are industry-specific, recognizing that different industries may face different ESG challenges and opportunities. Others are designed to be cross-sectoral, applying to companies across all industries.