Sustainable Finance

This course introduces students to sustainable finance. First, the main challenges for the financial world, as well as the regulatory framework, are discussed. Second, the course provides an overview of ESG metrics (environmental, social, governance) and discusses their use and limitations. Students learn the key measures to assess the performance in active portfolio management. These measures will then be used to assess the performance of sustainable mutual funds and sustainable pension plan investments. Third, students are introduced to other sustainable investments such as green bonds. Finally, the course addresses climate risk management, allowing students to understand the role of insurance, reinsurance and derivative instruments in climate risk management.