Sustainability and Financial Markets

Sustainable investments are becoming increasingly prominent while at the same time the market reality remains unchanged despite evidence that current business practices reach beyond ecological limits and are in breach of both the inter-generational and intra-generational equity. Are sustainable investments a myth? Clearly not - capital markets could indeed play a central role in overcoming this dilemma. However, sustainable investment practices still have to move on for effectively incorporating and promoting sustainability. For this to occur, two central challenges need to be addressed: In order to improve the authenticity of data, it is important to make clear what environmental, social, and governance (ESG) related data is actually measuring. This, in turn, will contribute to ensuring that investors gain trust in ESG-criteria and investments. In order to overcome the prevailing focus on short-term profit maximization, it is necessary to put more emphasis on a systems-perspective. This, in turn, will help investors to move on from having a too narrow ceteris paribus perspective towards addressing risks and opportunities within changing ecological and human-social systems. The learning objectives of this lecture is to understand these two challenges in detail and discusses ways how the field of sustainable investments could move ahead.    

Number of participants: maximum 20 persons. First come first severed by order of enrollment in myStudies. Exchange students may register by sending an email to in case of troubles with myStudies.

Credit points will awarded for attending all course days.

Requirements for this course: Basic understanding of Download corporate sustainability and interest in financial markets and investments.

Students will be noticed about their successful registration at the beginning of the semester.