The Value of ESG Metrics in the Investment Process - Leveraging ESG Metrics in the Construction of European Stock Portfolios

Improving data availability is not merely enough to ensure superior decision-making. The value of data depends on its quality, comparability, and relevance. In the context of environmental, social, and governance (ESG) metrics, European regulations have strengthened data quality and comparability by enhancing transparency and standardization, but their relevance to capital allocation remains contested. However, investors striving for financial returns have begun to question whether ESG metrics can consistently drive risk-adjusted performance and competitive returns. This study traces the evolution of ESG investing and evaluates the explanatory power of Combined ESG Scores and Ratings, alongside their underlying metrics, for portfolio construction in asset management. Building on these findings, the ESG-F model provides a pragmatic pre-selection layer that turns ESG data into implementable selection criteria, enabling risk mitigation and opportunity capture.

List of contents

Introduction and Statement.- Theoretical Background and Hypothesis Development.- Methodology and Data Analysis.- Summary and Implementable Model for Practical Applications.

About the author

Alexander Schleipfer
is a strategy consultant specializing in sustainable finance. His research focuses on leveraging Environmental, Social, and Governance (ESG) metrics -which are becoming increasingly transparent and accessible through regulatory frameworks such as the Corporate Sustainability Reporting Directive (CSRD) to construct European equity portfolios, effectively bridging regulatory developments and strategic asset management.

Product details

• Authors: Alexander Schleipfer
• Publisher: Springer, Berlin
• Languages: English
• Product format: Paperback / Softback
• Released: 02.12.2025
• EAN: 9783658497880
• ISBN: 978-3-658-49788-0
• No. of pages: 101
• Dimensions: 148 mm x 7 mm x 210 mm
• Weight: 167 g
• Illustrations: XVIII, 101 p. 55 illus., 10 illus. in color. Textbook for German language market.
• Subjects: Social sciences, law, business > Business > Business administration; Unternehmen und Umwelt, Grüne Unternehmensansätze, Umweltökonomie, Environmental Economics, decision-making, Financial Reporting, Corporate Environmental Management, Sustainable Finance, data availability, financial returns, environmental, social, and governance metrics