“After segmenting each section, a value will then be assigned to each. Some areas have a heavier weight than others. For example, if you invest in green programs and also avoid eating meat, it will have a heavier weight than your use of electricity in your home daily.
Every ESG rating agency has its own predefined scoring systems that assign weights and measures to each segment. As a result, the final, personal ESG score may vary slightly from agency to agency and agencies to your own calculations.
Controversies, actual reporting, truth in reporting, and exact tabulations will also play a role in your final score.
Commercial companies also have more access to public data than you may have on your own, which will further affect the actual score you are awarded.
ESG scores take a lot of information into account when it comes to commercial and industrial entities. On a personal level, just as much information is used to create a picture of who you are and how your personal actions influence the world around you.
Buying a gun, alcohol, or even clothing will all affect your overall ESG score. Not only will your purchases matter, but who you purchase from and how they do business.
Your political affiliations also factor into your personal ESG score. Aside from the politics in governance, the party you support and even the person you vote for will make your score go up or down based on that person’s actions, policies, and voting habits.
The type of car you drive, how often, and even how many people are in the car when you drive will also come into play when deciding your score.
Unlike credit scores with a clear method of tabulation, cause, and effect, ESG scores depend on a wide variety of factors that most people have yet to consider. Depending on where you live, even calculating a personal ESG score can mean giving up your rights to basic privacy.”
“the party you support and even the person you vote for will make your score go up or down based on that person’s actions, policies, and voting habits.”
That should scare the hell out of anyone who votes. Vote the wrong way...no food for you. Vote the wrong way no bank account for you!
It's a lot easier to say "ESG scores are arbitrary".
Any article that doesn’t define an uncommon acronym, initialism or abbreviation in its first use is somewhere between worthless and suspect.