S&P Global Abandons ESG Ratings in Response to Investor Confusion
S&P Global Ratings has decided to remove environmental, social, and governance (ESG) scores from its credit ratings, following criticism that the scores were subjective and lacked transparency. The move comes as ESG investing gains popularity and scrutiny, with investors demanding more standardized and reliable ESG data. S&P will instead provide separate ESG evaluations alongside its credit ratings, allowing investors to make their own assessments.