1.5 Degree Target
The aspirational goal of the Paris Agreement to limit global warming to 1.5C above pre-industrial levels to reduce the most severe climate impacts.
Climate Science & EmissionsShowing all 346 terms
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A
Abatement
The act of reducing the amount or intensity of greenhouse gas emissions, typically through cleaner technology, efficiency, or process changes.
Climate Science & EmissionsActive Ownership
Investors using their rights and influence — through engagement, voting, and dialogue — to encourage better ESG practices in the companies they own.
Core Sustainability & ESGActivity Data
The quantitative information about a process, such as kilowatt-hours of electricity or kilometers traveled, used to calculate emissions.
Measurement, Reporting & AssuranceAdditionality
The principle that a carbon offset project must deliver emissions reductions that would not have happened without the financing from credit sales.
Net Zero, Carbon Markets & OffsetsAfforestation
The establishment of forest on land that was not previously forested, used as a carbon sequestration strategy.
Net Zero, Carbon Markets & OffsetsAnti-Corruption
Policies and controls designed to prevent bribery, fraud, and other corrupt practices within a company and its dealings.
Governance (the “G”)Article 8 Fund
Under the SFDR, a fund that promotes environmental or social characteristics among other features, sometimes called light green.
Regulation & PolicyArticle 9 Fund
Under the SFDR, a fund that has sustainable investment as its core objective, sometimes called dark green.
Regulation & PolicyAsset Manager
A firm that invests capital on behalf of clients, making portfolio decisions and increasingly exercising stewardship on ESG issues.
Sustainable Finance & InvestmentAsset Owner
An institution, such as a pension fund, insurer, or sovereign wealth fund, that owns and is ultimately responsible for the capital being invested.
Sustainable Finance & InvestmentAssurance
Independent verification of sustainability information to give users confidence in its reliability, provided at limited or reasonable levels.
Measurement, Reporting & AssuranceAssurance Standard
A standard, such as ISAE 3000 or ISSA 5000, that auditors use to provide independent verification of sustainability information.
Disclosure Frameworks & StandardsAudit Committee
A board committee responsible for overseeing financial reporting, internal controls, and the external audit.
Governance (the “G”)Avoided Emissions
Emissions reductions that occur outside a company's own footprint as a result of its products or services, sometimes called Scope 4, distinct from absolute reductions.
Climate Science & EmissionsB
B Corp Certification
A certification by the non-profit B Lab verifying that a company meets high standards of verified social and environmental performance, accountability, and transparency.
Social (the “S”)B Lab
The non-profit organization behind B Corp Certification and standards for socially and environmentally responsible business.
Organizations, Bodies & AcronymsBaseline
A reference point against which future performance is measured, such as a base year for emissions-reduction targets.
Measurement, Reporting & AssuranceBattery Energy Storage System BESS
A system that stores electricity in batteries for later discharge, helping balance supply and demand and support grid stability.
Energy Transition & Clean PowerBeneficial Ownership
The disclosure of the natural persons who ultimately own or control a company, used to improve transparency and combat illicit finance.
Governance (the “G”)Benefit Corporation
A legal corporate form, available in some jurisdictions, that requires companies to consider social and environmental impact alongside profit.
Social (the “S”)Best-in-Class
An investment approach that favors companies leading their peers on ESG performance rather than excluding entire sectors.
Core Sustainability & ESGBiodiversity
The variety of life on Earth across species, genes, and ecosystems, whose loss poses systemic risks to economies and societies.
Nature, Biodiversity & WaterBiodiversity Credit
A tradable unit representing a measurable gain in biodiversity, an emerging market mechanism to finance nature restoration.
Nature, Biodiversity & WaterBiofuel
Liquid or gaseous fuel produced from biomass, such as ethanol or biodiesel, used as a lower-carbon alternative to petroleum fuels.
Energy Transition & Clean PowerBiomass Energy
Energy produced from organic materials such as wood, agricultural residues, and waste, used for heat, power, or fuel.
Energy Transition & Clean PowerBlended Finance
The strategic use of public or philanthropic capital to mobilize additional private investment into sustainable development projects.
Sustainable Finance & InvestmentBlue Bond
A debt instrument that raises capital for marine and ocean-based projects, such as sustainable fisheries and coastal protection.
Sustainable Finance & InvestmentBlue Hydrogen
Hydrogen produced from natural gas with carbon capture and storage to reduce, though not eliminate, associated emissions.
Energy Transition & Clean PowerBluewashing
Misleading claims that overstate a company's social responsibility or ethical conduct, named in reference to the blue UN Global Compact logo.
Core Sustainability & ESGBoard Independence
The presence of directors who have no material relationship with the company beyond their board role, supporting objective oversight.
Governance (the “G”)Board Oversight of ESG
The board's responsibility for overseeing a company's sustainability strategy, risks, and performance, a key indicator of governance maturity.
Governance (the “G”)Brown Discount
The opposite of a greenium: the higher yield or lower valuation investors demand for carbon-intensive or high-ESG-risk assets.
Sustainable Finance & InvestmentBusiness Ethics
The principles and standards that guide acceptable conduct in business, covering integrity, fairness, and accountability.
Governance (the “G”)C
California AB 1305
A California law requiring companies that make carbon-neutral or offset-related claims, or that buy or sell voluntary carbon credits, to disclose supporting information.
Regulation & PolicyCalifornia Air Resources Board CARB
The California agency responsible for air quality and climate programs, which administers the state's SB 253 and SB 261 climate disclosure laws.
Organizations, Bodies & AcronymsCalifornia SB 253
The Climate Corporate Data Accountability Act, requiring companies doing business in California with over USD 1 billion in revenue to disclose greenhouse gas emissions; first Scope 1 and 2 reports are due 10 August 2026, with Scope 3 from 2027.
Regulation & PolicyCalifornia SB 261
The Climate-Related Financial Risk Act, requiring companies doing business in California with over USD 500 million in revenue to publish biennial climate-risk reports; as of 2026 its enforcement is paused pending a Ninth Circuit appeal.
Regulation & PolicyCap and Trade
A regulatory approach that sets a limit on total emissions and issues tradable allowances, letting the market find the lowest-cost reductions.
Net Zero, Carbon Markets & OffsetsCapacity Factor
The ratio of a power plant's actual output over time to its maximum possible output, indicating how intensively it is used.
Energy Transition & Clean PowerCarbon Accounting
The process of measuring, quantifying, and reporting an organization's greenhouse gas emissions across its operations and value chain.
Climate Science & EmissionsCarbon Border Adjustment Mechanism CBAM
An EU policy that places a carbon price on certain imports to prevent carbon leakage and ensure imported goods face costs comparable to EU-produced goods.
Sustainable Finance & InvestmentCarbon Budget
The cumulative amount of greenhouse gases that can be emitted while keeping global warming below a specified temperature limit.
Climate Science & EmissionsCarbon Capture and Storage CCS
Technology that captures carbon dioxide from industrial or power-plant emissions and stores it underground to prevent it from entering the atmosphere.
Net Zero, Carbon Markets & OffsetsCarbon Capture, Utilization and Storage CCUS
A set of technologies that capture carbon dioxide for storage or for use in products such as fuels, building materials, or chemicals.
Net Zero, Carbon Markets & OffsetsCarbon Credit
A tradable certificate representing the reduction, avoidance, or removal of one tonne of carbon dioxide equivalent, used in compliance or voluntary markets.
Net Zero, Carbon Markets & OffsetsCarbon Dioxide CO2
The most prevalent greenhouse gas emitted by human activity, released chiefly through the burning of fossil fuels, deforestation, and industrial processes.
Climate Science & EmissionsCarbon Dioxide Equivalent CO2e
A standard unit that expresses the warming impact of all greenhouse gases in terms of the amount of CO2 that would cause the same effect, enabling comparison across gases.
Climate Science & EmissionsCarbon Disclosure Project CDP
A global non-profit that runs a disclosure system through which companies, cities, and governments report environmental data on climate, water, and forests.
Disclosure Frameworks & StandardsCarbon Footprint
The total greenhouse gas emissions caused directly and indirectly by an individual, organization, product, or activity, expressed in CO2e.
Climate Science & EmissionsCarbon Intensity
The amount of greenhouse gas emissions produced per unit of output, such as per dollar of revenue, unit of product, or kilowatt-hour of electricity.
Climate Science & EmissionsCarbon Negative
Removing more carbon dioxide from the atmosphere than is emitted, resulting in a net reduction of atmospheric greenhouse gases.
Net Zero, Carbon Markets & OffsetsCarbon Neutral
A claim that an entity has balanced its carbon dioxide emissions with an equivalent amount of offsets or removals, a weaker standard than net zero as it may rely heavily on offsetting.
Net Zero, Carbon Markets & OffsetsCarbon Offset
A reduction or removal of greenhouse gas emissions, generated by one project, used to compensate for emissions made elsewhere; one offset typically represents one tonne of CO2e.
Net Zero, Carbon Markets & OffsetsCarbon Offset Registry
An accounting system that issues, tracks, and retires carbon credits to ensure each is only sold and used once, preventing double counting.
Net Zero, Carbon Markets & OffsetsCarbon Pricing
Any mechanism, such as a carbon tax or emissions trading scheme, that puts a monetary cost on greenhouse gas emissions to internalize their climate damage.
Net Zero, Carbon Markets & OffsetsCarbon Removal
The deliberate extraction of carbon dioxide from the atmosphere and its durable storage, through natural or technological means; also called carbon dioxide removal (CDR).
Net Zero, Carbon Markets & OffsetsCarbon Sequestration
The process of capturing and storing atmospheric carbon dioxide in vegetation, soils, geologic formations, or the ocean.
Net Zero, Carbon Markets & OffsetsCarbon Sink
A natural or artificial reservoir, such as forests or oceans, that absorbs and stores more carbon than it releases.
Net Zero, Carbon Markets & OffsetsCarbon Tariff
A border charge on imported goods based on their embedded carbon, used to protect domestic industries facing carbon costs; the EU's CBAM is a leading example.
Regulation & PolicyCarbon Tax
A government-imposed price on each tonne of greenhouse gas emissions, designed to discourage fossil fuel use and incentivize cleaner alternatives.
Net Zero, Carbon Markets & OffsetsCatalytic Capital
Patient, risk-tolerant capital that accepts disproportionate risk or concessionary returns to unlock investment that the market would not otherwise provide.
Sustainable Finance & InvestmentCeres
A US non-profit that works with investors and companies to advance sustainability leadership and tackle climate change.
Organizations, Bodies & AcronymsChild Labor
Work that deprives children of their childhood, potential, and dignity, and that is harmful to their development or schooling.
Social (the “S”)Circular Economy
An economic model designed to eliminate waste and keep materials in use through reuse, repair, remanufacturing, and recycling, in contrast to the linear take-make-dispose model.
Core Sustainability & ESGClawback Provision
A contractual clause allowing a company to reclaim executive compensation in cases of misconduct, restatement, or failure to meet conditions.
Governance (the “G”)Climate Adaptation
Adjustments in systems, infrastructure, and behavior to reduce vulnerability to the actual or expected effects of climate change.
Climate Science & EmissionsClimate Bonds Initiative CBI
An international non-profit that promotes investment in projects supporting a low-carbon economy, including through bond certification.
Organizations, Bodies & AcronymsClimate Bonds Standard
A certification scheme run by the Climate Bonds Initiative that verifies whether a bond's proceeds meet science-based climate criteria.
Disclosure Frameworks & StandardsClimate Change
Long-term shifts in temperatures and weather patterns, driven primarily since the industrial era by human emissions of greenhouse gases.
Climate Science & EmissionsClimate Justice
A framing of climate change as an ethical and political issue, emphasizing that its causes and impacts are distributed unequally across people and nations.
Climate Science & EmissionsClimate Mitigation
Actions taken to reduce or prevent greenhouse gas emissions, such as switching to renewable energy, improving efficiency, or protecting carbon sinks.
Climate Science & EmissionsClimate Positive
A claim that an activity goes beyond net zero to remove additional greenhouse gases from the atmosphere, sometimes called carbon negative.
Net Zero, Carbon Markets & OffsetsClimate Resilience
The capacity of a system, community, or business to anticipate, absorb, and recover from climate-related shocks and stresses.
Climate Science & EmissionsClimate Risk Disclosure
The reporting of a company's exposure to climate-related physical and transition risks and how it manages them, for investors and regulators.
Sustainable Finance & InvestmentClimate Transition Plan
A company's time-bound strategy describing how it will adjust its business model and operations to align with a low-carbon economy and its decarbonization targets.
Climate Science & EmissionsCode of Conduct
A formal document setting out the standards of behavior expected of a company's employees, directors, and sometimes suppliers.
Governance (the “G”)Collective Bargaining
Negotiation between employers and organized groups of workers to determine wages, conditions, and other terms of employment.
Social (the “S”)Community Engagement
The processes by which a company builds relationships with and responds to the communities affected by its activities.
Social (the “S”)Compliance Carbon Market
A regulated market in which capped entities must hold allowances or credits to cover their emissions, such as the EU Emissions Trading System.
Net Zero, Carbon Markets & OffsetsConcessional Finance
Funding offered on terms more generous than the market, such as below-market interest rates, to support development or sustainability goals.
Sustainable Finance & InvestmentConference of the Parties COP
The annual United Nations climate summit where signatory countries negotiate and review progress on global climate action.
Climate Science & EmissionsConflict of Interest
A situation where personal or competing interests could improperly influence a decision-maker's judgment, requiring disclosure and management.
Governance (the “G”)Consolidation Approach
The method a company uses to decide which emissions to include in its inventory, based on equity share, financial control, or operational control.
Measurement, Reporting & AssuranceControversy Score
A rating component that flags a company's involvement in incidents or scandals affecting its ESG profile, such as environmental violations or labor disputes.
Sustainable Finance & InvestmentCorporate Governance
The system of rules, practices, and processes by which a company is directed and controlled, balancing the interests of stakeholders.
Governance (the “G”)Corporate Social Responsibility CSR
A self-regulating business model through which a company accounts for its social, environmental, and economic impact, often through voluntary initiatives and philanthropy.
Core Sustainability & ESGCorporate Sustainability Due Diligence Directive CSDDD / CS3D
An EU directive obliging large companies to identify and address adverse human-rights and environmental impacts in their operations and value chains. The 2026 Omnibus I reforms raised its thresholds to companies with over 5,000 employees and EUR 1.5 billion in turnover, with compliance required by July 2029.
Regulation & PolicyCorporate Sustainability Reporting Directive CSRD
An EU directive requiring large and listed companies to report standardized sustainability information on a double-materiality basis. Under the Omnibus I package adopted in February 2026, its scope was sharply narrowed to companies with more than 1,000 employees and over EUR 450 million in net turnover.
Regulation & PolicyCradle to Cradle
A design philosophy in which products are made so that their materials can be perpetually cycled back into new products without loss of quality.
Circular Economy & ResourcesCritical Raw Materials CRMs
Materials, such as lithium, cobalt, and rare earths, that are economically important and at high supply risk, essential to the energy transition.
Circular Economy & ResourcesCurtailment
The deliberate reduction of renewable energy output when supply exceeds demand or the grid cannot absorb it.
Energy Transition & Clean PowerCybersecurity Governance
The board-level oversight and policies that manage a company's exposure to cyber threats and data breaches, a growing governance concern.
Governance (the “G”)D
Data Privacy
The protection of personal information collected and processed by an organization, governed by laws such as the GDPR.
Governance (the “G”)Data Quality
The accuracy, completeness, and reliability of sustainability data, a key determinant of the credibility of reported figures.
Measurement, Reporting & AssuranceDecarbonization
The process of reducing or eliminating carbon dioxide and other greenhouse gas emissions from an economy, sector, company, or activity.
Climate Science & EmissionsDeforestation
The clearing or removal of forests, a major source of greenhouse gas emissions and biodiversity loss, often linked to agriculture and supply chains.
Nature, Biodiversity & WaterDegrowth
An economic philosophy advocating the planned reduction of energy and resource use to bring the economy back into balance with the living world, prioritizing wellbeing over GDP growth.
Core Sustainability & ESGDemand Response
Adjusting electricity consumption in response to grid signals or prices to balance supply and demand and reduce peak loads.
Energy Transition & Clean PowerDesign for Disassembly
Designing products so their components can be easily separated for repair, reuse, or recycling at end of life.
Circular Economy & ResourcesDirect Air Capture DAC
A technology that removes carbon dioxide directly from ambient air, after which the captured CO2 can be stored permanently or used.
Net Zero, Carbon Markets & OffsetsDistributed Energy Resources DER
Small-scale power generation or storage assets located close to where electricity is used, such as rooftop solar and home batteries.
Energy Transition & Clean PowerDiversity on Boards
The representation of varied backgrounds, including gender, ethnicity, and experience, among a company's directors, linked to governance quality.
Social (the “S”)Diversity, Equity and Inclusion DEI
Organizational policies and practices aimed at ensuring fair treatment, representation, and full participation of people of all backgrounds.
Social (the “S”)Divestment
The deliberate sale of investments in certain assets or sectors, such as fossil fuels, on financial or ethical grounds.
Sustainable Finance & InvestmentDo No Significant Harm DNSH
An EU principle requiring that an activity counted as sustainable does not significantly harm any other environmental objective.
Regulation & PolicyDouble Counting
The error of claiming the same emissions reduction or carbon credit more than once, which undermines the integrity of carbon accounting.
Measurement, Reporting & AssuranceDouble Materiality
A reporting concept, central to EU rules, requiring companies to disclose both how sustainability issues affect their financial value (financial materiality) and how the company affects people and the environment (impact materiality).
Core Sustainability & ESGDoughnut Economics
An economic model proposed by Kate Raworth that defines a safe and just space for humanity between a social foundation and an ecological ceiling.
Core Sustainability & ESGDowncycling
Recycling a material into a product of lower quality or functionality, common with plastics and paper.
Circular Economy & ResourcesDual-Class Share Structure
An arrangement where one class of shares carries more voting power than another, often concentrating control with founders and reducing minority shareholder influence.
Governance (the “G”)E
Ecosystem Restoration
The process of assisting the recovery of ecosystems that have been degraded, damaged, or destroyed.
Nature, Biodiversity & WaterEcosystem Services
The benefits people obtain from nature, such as clean water, pollination, climate regulation, and flood protection.
Nature, Biodiversity & WaterElectrification
Replacing technologies that use fossil fuels with those that run on electricity, such as electric vehicles and heat pumps, to enable decarbonization.
Energy Transition & Clean PowerElectrolysis
The process of using electricity to split water into hydrogen and oxygen, central to producing green hydrogen.
Energy Transition & Clean PowerEmbodied Carbon
The greenhouse gas emissions associated with the production, transport, and disposal of materials and products, especially in construction, as distinct from operational emissions.
Climate Science & EmissionsEmission Factor
A coefficient that converts activity data, such as fuel used, into an estimate of greenhouse gas emissions.
Measurement, Reporting & AssuranceEmissions Trading Scheme ETS
A market-based system that caps total emissions and allows participants to buy and sell allowances, also known as cap-and-trade.
Net Zero, Carbon Markets & OffsetsEnergy Efficiency
Using less energy to perform the same task, reducing both emissions and costs through better technology, design, and behavior.
Energy Transition & Clean PowerEnergy Poverty
The lack of access to affordable, reliable, and clean energy services, affecting health, education, and economic opportunity.
Energy Transition & Clean PowerEnergy Security
The reliable, affordable, and uninterrupted availability of energy, a key driver shaping the pace and shape of the energy transition.
Energy Transition & Clean PowerEnergy Storage
Technologies that capture energy for later use, including batteries, pumped hydro, and thermal storage, essential for integrating variable renewables.
Energy Transition & Clean PowerEnergy Transition
The global shift from fossil-fuel-based energy systems toward low-carbon and renewable sources, alongside greater efficiency and electrification.
Energy Transition & Clean PowerEnterprise Risk Management ERM
A structured, company-wide approach to identifying, assessing, and managing risks, increasingly extended to ESG and climate risks.
Governance (the “G”)Environmental, Social & Governance ESG
A framework for evaluating a company or investment based on environmental impact, social responsibility, and governance quality, used by investors to assess risks and opportunities not captured by traditional financial analysis.
Core Sustainability & ESGEquator Principles
A risk-management framework adopted by financial institutions for assessing and managing environmental and social risks in project finance.
Disclosure Frameworks & StandardsESG Fund
An investment fund that selects holdings using environmental, social, and governance criteria in addition to financial analysis.
Sustainable Finance & InvestmentESG Integration
The systematic inclusion of material ESG factors into financial analysis and investment decisions to improve risk-adjusted returns.
Core Sustainability & ESGESG Rating
An assessment by a specialized agency of how well a company manages ESG risks and opportunities relative to peers, used by investors.
Sustainable Finance & InvestmentESG Score
A numerical or letter measure summarizing a company's ESG performance, with methodologies varying significantly between rating providers.
Sustainable Finance & InvestmentESG-Linked Compensation
Executive pay tied to the achievement of environmental, social, or governance targets, intended to align incentives with sustainability goals.
Governance (the “G”)EU Green Deal
The European Union's overarching strategy to make Europe climate-neutral by 2050, encompassing policies across energy, industry, transport, and finance.
Regulation & PolicyEU Omnibus I Package
A 2026 EU simplification package that significantly narrowed the scope of the CSRD, CSDDD, and EU Taxonomy and cut ESRS data points by roughly 70 percent; it was adopted by the Council on 24 February 2026 and entered into force on 18 March 2026.
Regulation & PolicyEU Taxonomy
A classification system that defines which economic activities count as environmentally sustainable in the European Union, used to guide investment and prevent greenwashing.
Regulation & PolicyEuropean Financial Reporting Advisory Group EFRAG
The body that provides technical advice to the European Commission and developed the European Sustainability Reporting Standards.
Organizations, Bodies & AcronymsEuropean Sustainability Reporting Standards ESRS
The detailed reporting standards that companies must follow under the EU's Corporate Sustainability Reporting Directive, built on a double-materiality basis.
Disclosure Frameworks & StandardsEutrophication
The excessive enrichment of water bodies with nutrients, often from fertilizer runoff, leading to algal blooms and oxygen depletion.
Nature, Biodiversity & WaterExecutive Compensation
The total pay package awarded to senior executives, including salary, bonuses, and equity, scrutinized for its link to performance and ESG outcomes.
Governance (the “G”)Extended Producer Responsibility EPR
A policy approach that makes producers responsible for the end-of-life management of their products, including collection, recycling, and disposal.
Regulation & PolicyF
Feed-in Tariff FiT
A policy mechanism that pays renewable energy producers a guaranteed price for the electricity they feed into the grid.
Energy Transition & Clean PowerFiduciary Duty
The legal obligation of investment managers and trustees to act in the best interests of their clients or beneficiaries, increasingly interpreted to include material ESG risks.
Sustainable Finance & InvestmentFinanced Emissions
The greenhouse gas emissions associated with the loans and investments of a financial institution, typically the largest part of its footprint.
Measurement, Reporting & AssuranceFinancial Materiality
The view that a sustainability issue is material only if it could reasonably affect a company's financial performance, cash flows, or enterprise value; the basis of the ISSB approach.
Core Sustainability & ESGFit for 55
A package of EU legislative proposals aimed at cutting net greenhouse gas emissions by at least 55 percent by 2030 compared with 1990 levels.
Regulation & PolicyForced Labor
Work or service exacted from a person under threat or coercion and without their free consent, prohibited under international labor standards.
Social (the “S”)Fossil Fuels
Carbon-rich energy sources formed from ancient organic matter, including coal, oil, and natural gas, whose combustion is the leading source of greenhouse gas emissions.
Energy Transition & Clean PowerFree, Prior and Informed Consent FPIC
The right of Indigenous peoples to give or withhold consent to projects affecting their lands and resources, based on full information and without coercion.
Social (the “S”)Freedom of Association
The right of workers to form and join trade unions and to bargain collectively without interference.
Social (the “S”)Fuel Cell
A device that generates electricity through an electrochemical reaction, commonly using hydrogen, with water as the main byproduct.
Energy Transition & Clean PowerG
Gender Pay Gap
The difference in average earnings between women and men across a workforce, often disclosed as an indicator of workplace equity.
Social (the “S”)Geothermal Energy
Heat energy extracted from beneath the Earth's surface, used for electricity generation and direct heating.
Energy Transition & Clean PowerGlasgow Financial Alliance for Net Zero GFANZ
A global coalition of financial institutions committed to accelerating the transition to a net-zero economy.
Organizations, Bodies & AcronymsGlobal Impact Investing Network GIIN
A non-profit dedicated to increasing the scale and effectiveness of impact investing, and steward of the IRIS+ metrics system.
Organizations, Bodies & AcronymsGlobal Reporting Initiative GRI
The most widely used framework for sustainability reporting, emphasizing an organization's impacts on the economy, environment, and people through an impact-materiality lens.
Disclosure Frameworks & StandardsGlobal Warming
The long-term rise in Earth's average surface temperature caused mainly by increased concentrations of greenhouse gases from human activity.
Climate Science & EmissionsGlobal Warming Potential GWP
A measure of how much heat a greenhouse gas traps in the atmosphere over a given period relative to carbon dioxide, used to convert emissions into CO2e.
Climate Science & EmissionsGreen Bond
A fixed-income instrument whose proceeds are earmarked exclusively for projects with environmental benefits, such as renewable energy or clean transport.
Sustainable Finance & InvestmentGreen Bond Principles GBP
Voluntary guidelines published by ICMA that promote transparency and integrity in the green bond market through standards on use of proceeds and reporting.
Disclosure Frameworks & StandardsGreen Claims Directive
A proposed EU rule aimed at substantiating and regulating environmental marketing claims to combat greenwashing and protect consumers.
Regulation & PolicyGreen Hydrogen
Hydrogen produced by splitting water using electricity from renewable sources, emitting no carbon dioxide in the process.
Energy Transition & Clean PowerGreen Loan
A loan whose proceeds are dedicated exclusively to financing eligible green projects, following principles similar to green bonds.
Sustainable Finance & InvestmentGreenhouse Gas GHG
A gas that traps heat in the atmosphere, contributing to global warming; the main ones are carbon dioxide, methane, nitrous oxide, and fluorinated gases.
Climate Science & EmissionsGreenhouse Gas Inventory
A comprehensive accounting of the greenhouse gas emissions produced by an organization over a defined period and boundary.
Disclosure Frameworks & StandardsGreenhouse Gas Inventory Boundary
The organizational and operational limits that define which emission sources are counted in a company's GHG inventory.
Measurement, Reporting & AssuranceGreenhouse Gas Protocol GHG Protocol
The most widely used international standard for measuring and managing greenhouse gas emissions, developed by the World Resources Institute and WBCSD, which defines Scopes 1, 2, and 3.
Climate Science & EmissionsGreenhouse Gas Protocol Corporate Standard
The foundational accounting and reporting standard under the GHG Protocol that companies use to inventory their Scope 1, 2, and 3 emissions.
Disclosure Frameworks & StandardsGreenhushing
The practice of deliberately under-reporting or staying silent about sustainability goals and progress, often to avoid scrutiny, accusations of greenwashing, or political backlash.
Core Sustainability & ESGGreenium
The pricing premium investors are willing to pay for green or sustainable bonds, reflected in a lower yield than comparable conventional bonds.
Sustainable Finance & InvestmentGreenium Spread
The yield difference between a green bond and an equivalent conventional bond, quantifying the green pricing benefit to issuers.
Sustainable Finance & InvestmentGreenwashing
The practice of conveying a false or misleading impression that a product, service, or company is more environmentally sound or sustainable than it actually is.
Core Sustainability & ESGGreenwashing Regulation
The growing body of rules and enforcement actions targeting false or misleading environmental claims by companies and financial products.
Regulation & PolicyGrey Hydrogen
Hydrogen produced from fossil fuels, typically natural gas, without capturing the resulting carbon emissions.
Energy Transition & Clean PowerGrid Parity
The point at which a renewable energy source can generate power at a cost equal to or lower than electricity from the grid.
Energy Transition & Clean PowerGrievance Mechanism
A formal process allowing workers, communities, or other stakeholders to raise complaints and seek remedy for harms.
Social (the “S”)Guarantee of Origin GO
The European equivalent of a renewable energy certificate, certifying that a unit of electricity was produced from renewable sources.
Energy Transition & Clean PowerH
Habitat Loss
The destruction or degradation of natural environments, the leading driver of biodiversity decline worldwide.
Nature, Biodiversity & WaterHealth and Safety
Workplace practices and standards designed to protect workers from injury, illness, and hazards, a core social performance metric.
Social (the “S”)Human Capital
The economic value of a workforce's skills, knowledge, experience, and health, increasingly treated as a material factor in corporate valuation and disclosure.
Core Sustainability & ESGHuman Capital Management HCM
The strategic approach to recruiting, developing, and retaining a workforce, increasingly treated as material to long-term company value.
Social (the “S”)Human Rights
The basic rights and freedoms to which all people are entitled; in business, companies are expected to respect them throughout their operations and value chains.
Social (the “S”)Hydropower
Electricity generated from the energy of moving or falling water, the largest source of renewable electricity globally.
Energy Transition & Clean PowerI
IFRS Foundation
The non-profit organization that oversees the development of accounting and, through the ISSB, sustainability disclosure standards.
Organizations, Bodies & AcronymsIFRS S1
The ISSB standard setting out general requirements for disclosing sustainability-related financial information that is material to investors.
Disclosure Frameworks & StandardsIFRS S2
The ISSB standard focused specifically on climate-related disclosures, building on the recommendations of the TCFD.
Disclosure Frameworks & StandardsImpact Investing
Investments made with the intention of generating measurable positive social or environmental impact alongside a financial return.
Core Sustainability & ESGImpact Materiality
The perspective that a topic is material based on the company's actual or potential effects on people and the environment, regardless of financial consequence.
Core Sustainability & ESGImpact Measurement
The practice of assessing and quantifying the social and environmental outcomes generated by an investment or activity.
Sustainable Finance & InvestmentIndigenous Rights
The collective and individual rights of Indigenous peoples, including to their lands, cultures, and self-determination, relevant to land-use and resource projects.
Social (the “S”)Industrial Symbiosis
An arrangement where the waste or byproduct of one industrial process becomes the raw material for another, reducing overall resource use.
Circular Economy & ResourcesInflation Reduction Act IRA
A 2022 US law that provides extensive tax credits and incentives for clean energy, manufacturing, and decarbonization, the largest US climate investment to date.
Regulation & PolicyInsetting
Investing in emissions-reduction or carbon-removal projects within a company's own value chain, rather than purchasing external offsets.
Net Zero, Carbon Markets & OffsetsInstitutional Investors Group on Climate Change IIGCC
A European membership body for investors collaborating on the transition to a net-zero and resilient future.
Organizations, Bodies & AcronymsIntegrated Annual Report
A single report that combines a company's financial and sustainability performance to present a holistic view of value creation.
Measurement, Reporting & AssuranceIntegrated Reporting IR
A reporting approach that combines financial and non-financial information to show how an organization creates value over time across multiple forms of capital.
Disclosure Frameworks & StandardsIntergovernmental Panel on Climate Change IPCC
The United Nations body that assesses the scientific consensus on climate change and produces authoritative reports informing global policy.
Climate Science & EmissionsIntermittency
The variable and weather-dependent nature of some renewable sources such as solar and wind, addressed through storage, grids, and flexible demand.
Energy Transition & Clean PowerInternal Carbon Price
A monetary value a company assigns to its carbon emissions to guide investment decisions, manage transition risk, and incentivize low-carbon choices.
Climate Science & EmissionsInternational Capital Market Association ICMA
An industry body that develops voluntary standards for capital markets, including the Green and Social Bond Principles.
Organizations, Bodies & AcronymsInternational Organization for Standardization ISO
A global standard-setting body whose sustainability-related standards include ISO 14001 for environmental management and ISO 14064 for greenhouse gas accounting.
Organizations, Bodies & AcronymsInternational Sustainability Standards Board ISSB
A board under the IFRS Foundation that develops a global baseline of sustainability disclosure standards for capital markets, consolidating several earlier frameworks.
Disclosure Frameworks & StandardsInvestment Tax Credit ITC
A US tax credit that reduces the upfront cost of installing clean energy systems such as solar, based on a percentage of the investment.
Regulation & PolicyIRIS+
A widely used system, managed by the Global Impact Investing Network, that provides standardized metrics for measuring and managing impact.
Sustainable Finance & InvestmentJ
Just Transition
A framework ensuring that the shift to a low-carbon economy is fair and inclusive, protecting workers, communities, and regions dependent on carbon-intensive industries.
Core Sustainability & ESGK
Key Performance Indicator KPI
A quantifiable measure used to track progress toward a specific objective, including sustainability targets such as emissions or diversity.
Measurement, Reporting & AssuranceKunming-Montreal Global Biodiversity Framework GBF
A 2022 global agreement that sets targets to halt and reverse biodiversity loss by 2030, including protecting 30 percent of land and sea.
Nature, Biodiversity & WaterL
Land Use Change
The conversion of land from one use to another, such as forest to farmland, with significant climate and biodiversity consequences.
Nature, Biodiversity & WaterLeakage
When efforts to reduce emissions in one place cause emissions to increase elsewhere, undermining the net climate benefit.
Net Zero, Carbon Markets & OffsetsLEAP Approach
The TNFD's recommended process — Locate, Evaluate, Assess, Prepare — for organizations to analyze their nature-related issues.
Disclosure Frameworks & StandardsLevelized Cost of Energy LCOE
The average net cost of generating electricity over the lifetime of a plant, used to compare the economics of different energy technologies.
Energy Transition & Clean PowerLife Cycle Assessment LCA
A method for evaluating the environmental impacts of a product or service across its entire life, from raw material extraction to disposal.
Circular Economy & ResourcesLimited Assurance
A lower level of audit confidence in which the assuror states that nothing came to its attention suggesting the information is materially misstated.
Measurement, Reporting & AssuranceLinear Economy
The traditional take-make-dispose economic model in which raw materials are used to make products that are discarded as waste after use.
Core Sustainability & ESGLiquefied Natural Gas LNG
Natural gas cooled to liquid form for storage and transport, often positioned as a transition fuel though still a significant source of emissions.
Energy Transition & Clean PowerLiving Wage
A wage sufficient to afford a decent standard of living for a worker and their family, often higher than the legal minimum wage.
Social (the “S”)Lobbying Disclosure
The reporting of a company's spending and activity aimed at influencing legislation and policy, including alignment with its climate commitments.
Governance (the “G”)M
Marginal Abatement Cost MAC
The cost of reducing one additional unit of emissions, often visualized in a curve that ranks abatement options from cheapest to most expensive.
Climate Science & EmissionsMarine Protected Area MPA
A defined region of ocean managed to conserve marine ecosystems and biodiversity, with restrictions on human activity.
Nature, Biodiversity & WaterMaterial Flow Analysis MFA
A method for tracking the flows and stocks of materials through an economy or process to identify inefficiencies and opportunities.
Circular Economy & ResourcesMateriality
The principle that information is significant enough to influence the decisions of its intended users; in sustainability, it determines which ESG issues a company should manage and disclose.
Core Sustainability & ESGMateriality Assessment
A structured process companies use to identify, prioritize, and validate the ESG topics most significant to their business and stakeholders.
Core Sustainability & ESGMateriality Matrix
A visual tool that plots sustainability issues by their importance to stakeholders and to the business, used to prioritize reporting topics.
Measurement, Reporting & AssuranceMethane CH4
A potent greenhouse gas with far greater short-term warming power than carbon dioxide, emitted from agriculture, fossil fuel operations, and landfills.
Climate Science & EmissionsMicrogrid
A localized energy system that can operate independently or in connection with the main grid, improving resilience and integrating local generation.
Energy Transition & Clean PowerModern Slavery
The exploitation of people through forced labor, human trafficking, debt bondage, and similar practices, a key social risk in global supply chains.
Social (the “S”)Modern Slavery Act
Legislation, such as in the UK and Australia, requiring companies to report on the steps they take to prevent forced labor and human trafficking in their operations and supply chains.
Regulation & PolicyN
Nationally Determined Contributions NDCs
The climate action plans each country submits under the Paris Agreement, setting out its emissions-reduction targets and adaptation measures.
Climate Science & EmissionsNatural Capital
The world's stock of natural assets — including soil, air, water, and living organisms — from which people derive ecosystem services and economic value.
Core Sustainability & ESGNatural Capital Protocol
A standardized framework that helps organizations identify, measure, and value their impacts and dependencies on natural capital.
Disclosure Frameworks & StandardsNature-Based Solutions NbS
Actions that protect, restore, or sustainably manage ecosystems — such as forests, wetlands, and soils — to address climate change and benefit biodiversity and people.
Net Zero, Carbon Markets & OffsetsNature-Positive
A goal of halting and reversing the loss of nature, measured from a baseline, so that there is more nature in the world rather than less.
Nature, Biodiversity & WaterNature-Related Risk
The financial and operational risks arising from a company's dependencies and impacts on nature, assessed under frameworks such as the TNFD.
Nature, Biodiversity & WaterNegative Screening
Excluding specific companies, sectors, or practices from an investment portfolio based on ESG criteria, such as avoiding firms involved in coal or controversial weapons.
Core Sustainability & ESGNet Asset Value NAV
The per-share value of a fund's assets minus liabilities, used here in the context of valuing sustainable and impact funds.
Sustainable Finance & InvestmentNet Metering
A billing arrangement that credits owners of small-scale renewable systems for the electricity they export to the grid.
Energy Transition & Clean PowerNet Positive
A business approach in which a company aims to give back more to society and the environment than it takes, going beyond doing less harm.
Core Sustainability & ESGNet Zero
A state in which the greenhouse gases a company or country adds to the atmosphere are balanced by an equivalent amount removed, typically requiring deep emissions cuts first and removals for the residual.
Net Zero, Carbon Markets & OffsetsNet Zero Asset Managers initiative NZAM
An international group of asset managers committed to supporting the goal of net-zero greenhouse gas emissions by 2050.
Organizations, Bodies & AcronymsNet Zero by 2050
The widely adopted target year by which global emissions must reach net zero to keep warming to 1.5C, reflected in many national and corporate pledges.
Net Zero, Carbon Markets & OffsetsNet Zero Standard
The SBTi framework defining what constitutes a credible corporate net-zero target, requiring deep value-chain cuts and neutralization of residual emissions.
Disclosure Frameworks & StandardsNet-Zero Banking Alliance NZBA
A group of banks committed to aligning their lending and investment portfolios with net-zero emissions by 2050.
Organizations, Bodies & AcronymsNitrous Oxide N2O
A long-lived greenhouse gas emitted largely from agricultural soils, fertilizer use, and combustion, with a high global warming potential.
Climate Science & EmissionsO
Ocean Acidification
The ongoing decrease in the pH of the oceans caused by their absorption of carbon dioxide, threatening marine life and coral reefs.
Nature, Biodiversity & WaterOffshore Wind
Wind power generated by turbines located in bodies of water, typically offering stronger and more consistent wind than onshore sites.
Energy Transition & Clean PowerP
Paris Agreement
A legally binding international climate treaty adopted in 2015 to limit global warming to well below 2C, and preferably 1.5C, above pre-industrial levels.
Climate Science & EmissionsPartnership for Carbon Accounting Financials PCAF
A global framework that standardizes how financial institutions measure and disclose the greenhouse gas emissions associated with their loans and investments (financed emissions).
Disclosure Frameworks & StandardsPay Equity
The principle and practice of paying employees fairly for comparable work regardless of gender, race, or other protected characteristics.
Social (the “S”)Permanence
The durability of carbon storage in an offset project, addressing the risk that stored carbon could be released back into the atmosphere, for example by wildfire.
Net Zero, Carbon Markets & OffsetsPhase-Down
The gradual reduction of a fuel or activity, notably the language on coal and fossil fuels used in international climate negotiations.
Energy Transition & Clean PowerPhysical Risk
Climate-related risk arising from the physical effects of climate change, including acute events such as floods and storms, and chronic shifts such as rising sea levels and heat.
Climate Science & EmissionsPlanetary Boundaries
A scientific framework identifying nine environmental limits — including climate change, biodiversity loss, and freshwater use — within which humanity can safely operate.
Core Sustainability & ESGPlastic Pollution
The accumulation of plastic waste in the environment, particularly oceans, harming wildlife and entering food chains.
Nature, Biodiversity & WaterPollution
The introduction of harmful substances into the environment, including air, water, plastic, and chemical pollution, with effects on health and ecosystems.
Nature, Biodiversity & WaterPositive Screening
Selecting investments that perform strongly on chosen ESG criteria, often by including only best-in-class companies within each sector.
Core Sustainability & ESGPower Purchase Agreement PPA
A long-term contract between an electricity generator and a buyer to purchase power at an agreed price, widely used to finance renewable projects.
Energy Transition & Clean PowerPrincipal Adverse Impacts PAI
Under the SFDR, the negative effects of investment decisions on sustainability factors that financial firms must consider and disclose.
Regulation & PolicyPrinciples for Responsible Investment PRI
A UN-supported network of investors committed to incorporating ESG factors into investment practice through six voluntary principles.
Sustainable Finance & InvestmentProduct Stewardship
The responsibility of all parties in a product's life cycle, especially producers, to minimize its environmental and health impacts.
Circular Economy & ResourcesProduction Tax Credit PTC
A US per-kilowatt-hour tax credit for electricity generated by qualifying renewable energy facilities.
Regulation & PolicyProxy Advisor
A firm, such as ISS or Glass Lewis, that provides voting recommendations and research to institutional investors on shareholder resolutions.
Governance (the “G”)Proxy Data
Estimated or substitute data used when direct measurements are unavailable, common in calculating Scope 3 emissions.
Measurement, Reporting & AssuranceProxy Voting
The process by which shareholders cast votes on company matters, often through delegated representatives, at annual meetings.
Governance (the “G”)R
Reasonable Assurance
A higher level of audit confidence, comparable to a financial audit, in which the assuror gives a positive opinion that information is fairly stated.
Measurement, Reporting & AssuranceRecycling
The process of converting waste materials into new products, reducing the need for virgin resources and diverting waste from landfill.
Circular Economy & ResourcesREDD+
A UN framework for Reducing Emissions from Deforestation and forest Degradation, plus conservation and sustainable forest management, primarily in developing countries.
Net Zero, Carbon Markets & OffsetsReforestation
The replanting of forests in areas that were previously forested, used to sequester carbon and restore ecosystems.
Net Zero, Carbon Markets & OffsetsRegenerative Agriculture
Farming practices that restore soil health, biodiversity, and water cycles while sequestering carbon, going beyond merely sustaining the land.
Nature, Biodiversity & WaterRemanufacturing
Restoring used products to like-new condition by rebuilding and replacing components, extending their useful life.
Circular Economy & ResourcesRenewable Energy
Energy from naturally replenishing sources such as sunlight, wind, water, geothermal heat, and biomass, which are not depleted by use.
Energy Transition & Clean PowerRenewable Energy Certificate REC
A tradable certificate representing the environmental attributes of one megawatt-hour of renewable electricity, used to substantiate clean energy claims.
Energy Transition & Clean PowerRepairability
The degree to which a product can be fixed and maintained, extending its lifespan and reducing waste, increasingly subject to right-to-repair rules.
Circular Economy & ResourcesReporting Boundary
The defined scope of operations and entities included in a company's sustainability or emissions report, such as operational or financial control.
Measurement, Reporting & AssuranceResource Efficiency
Using natural resources, including materials, energy, and water, in the most productive way to minimize waste and environmental impact.
Circular Economy & ResourcesResponsible Investing
An investment approach that incorporates environmental, social, and governance factors into decision-making and active ownership.
Core Sustainability & ESGRestatement
The revision of previously reported figures, such as an emissions baseline, when methods, data, or organizational boundaries change.
Measurement, Reporting & AssuranceRetirement
The permanent cancellation of a carbon credit in a registry so it cannot be resold, signaling that its climate benefit has been claimed.
Net Zero, Carbon Markets & OffsetsReuse
Using a product or material again for the same or a different purpose without significant reprocessing, a high priority in the waste hierarchy.
Circular Economy & ResourcesS
Say on Pay
A shareholder vote on a company's executive compensation policy, giving investors a voice on pay practices.
Governance (the “G”)Science Based Targets SBT
Corporate emissions-reduction goals that are consistent with the level of decarbonization required to meet the goals of the Paris Agreement, as validated by the Science Based Targets initiative.
Net Zero, Carbon Markets & OffsetsScience Based Targets initiative SBTi
A body that defines and validates corporate net-zero and emissions-reduction targets to ensure they align with climate science.
Net Zero, Carbon Markets & OffsetsScope 1 Emissions
Direct greenhouse gas emissions from sources a company owns or controls, such as fuel combustion in company facilities and vehicles.
Climate Science & EmissionsScope 2 Emissions
Indirect greenhouse gas emissions from the generation of purchased electricity, steam, heating, and cooling consumed by a company.
Climate Science & EmissionsScope 3 Emissions
All other indirect emissions across a company's value chain, including purchased goods, business travel, product use, and disposal; typically the largest share of a company's footprint.
Climate Science & EmissionsSEC Climate Disclosure Rule
A 2024 US Securities and Exchange Commission rule that would have required public companies to disclose climate risks and certain emissions. It was stayed before taking effect, and on 29 May 2026 the SEC formally proposed to rescind it in its entirety.
Regulation & PolicySecondary Materials
Materials recovered from waste streams and reintroduced into production, reducing reliance on virgin resources.
Circular Economy & ResourcesSecurities and Exchange Commission SEC
The US federal regulator of securities markets, whose 2024 climate disclosure rule it formally proposed to rescind in May 2026.
Organizations, Bodies & AcronymsShareholder Engagement
Ongoing dialogue between investors and a company's management or board aimed at influencing corporate behavior on ESG and strategic issues.
Core Sustainability & ESGShareholder Primacy
The traditional view that a company's primary obligation is to maximize returns for its shareholders, often contrasted with stakeholder capitalism.
Core Sustainability & ESGShareholder Resolution
A proposal submitted by shareholders for a vote at a company meeting, increasingly used to push ESG-related changes.
Governance (the “G”)Small Modular Reactor SMR
A compact, factory-built nuclear reactor designed to be deployed in modules, offering a potentially flexible source of low-carbon power.
Energy Transition & Clean PowerSmart Grid
An electricity network that uses digital technology and two-way communication to monitor and manage the flow of power efficiently and reliably.
Energy Transition & Clean PowerSMART Targets
Goals that are Specific, Measurable, Achievable, Relevant, and Time-bound, a standard for credible sustainability commitments.
Measurement, Reporting & AssuranceSocial Bond
A bond whose proceeds finance projects with positive social outcomes, such as affordable housing, healthcare, or education.
Sustainable Finance & InvestmentSocial Capital
The networks, relationships, trust, and shared norms within a community or organization that enable cooperation and collective value creation.
Core Sustainability & ESGSocial License to Operate SLO
The ongoing acceptance and approval of a company's operations by local communities and stakeholders, beyond formal legal permits.
Social (the “S”)Social Return on Investment SROI
A method for measuring and accounting for the social, environmental, and economic value created relative to the resources invested.
Social (the “S”)Socially Responsible Investing SRI
An investment strategy that screens companies based on ethical, social, or environmental criteria, often excluding industries such as tobacco, weapons, or fossil fuels.
Core Sustainability & ESGSoil Health
The capacity of soil to function as a living system that sustains plants, animals, and humans, central to agriculture and carbon storage.
Nature, Biodiversity & WaterSolar Photovoltaic Solar PV
Technology that converts sunlight directly into electricity using semiconductor cells, one of the fastest-growing and lowest-cost sources of new power.
Energy Transition & Clean PowerStakeholder Capitalism
An economic system in which companies serve the interests of all stakeholders — employees, customers, suppliers, communities, and the environment — rather than maximizing shareholder returns alone.
Core Sustainability & ESGStewardship
The responsible allocation, management, and oversight of capital by investors to create long-term value for clients and beneficiaries, including engagement and voting.
Core Sustainability & ESGStewardship Code
A set of principles, such as the UK Stewardship Code, setting expectations for how institutional investors exercise responsible ownership.
Regulation & PolicyStranded Asset Risk
The financial risk that carbon-intensive assets lose value prematurely due to climate policy, technological change, or shifting demand.
Sustainable Finance & InvestmentStranded Assets
Assets such as fossil fuel reserves or carbon-intensive infrastructure that lose value or become liabilities earlier than expected due to climate policy, technology, or market shifts.
Climate Science & EmissionsStreamlined Energy and Carbon Reporting SECR
A UK framework requiring qualifying companies to disclose energy use, greenhouse gas emissions, and efficiency actions in their annual reports.
Disclosure Frameworks & StandardsSupply Chain Due Diligence
The process by which companies identify, prevent, and address human-rights and environmental risks among their suppliers.
Social (the “S”)Sustainability
The capacity to meet present needs without compromising the ability of future generations to meet their own needs, balancing economic, environmental, and social factors over the long term.
Core Sustainability & ESGSustainability Accounting Standards Board SASB
A set of industry-specific standards, now consolidated under the ISSB, identifying the financially material sustainability topics for each sector.
Disclosure Frameworks & StandardsSustainability Bond
A bond that finances a combination of green and social projects, blending environmental and social objectives.
Sustainable Finance & InvestmentSustainability Report
A published document in which an organization discloses its environmental, social, and governance performance, goals, and progress.
Measurement, Reporting & AssuranceSustainability-Linked Bond SLB
A bond whose financial terms, such as the coupon, change depending on whether the issuer meets predefined sustainability performance targets.
Sustainable Finance & InvestmentSustainability-Linked Loan SLL
A loan whose interest rate is tied to the borrower's achievement of agreed sustainability performance targets, rewarding improvement.
Sustainable Finance & InvestmentSustainable Aviation Fuel SAF
Lower-carbon jet fuel produced from renewable or waste feedstocks, used to reduce aviation emissions relative to conventional fuel.
Energy Transition & Clean PowerSustainable Development
A model of growth that integrates economic progress with environmental protection and social equity, popularized by the 1987 Brundtland Report's call to balance the needs of the present and the future.
Core Sustainability & ESGSustainable Development Goals SDGs
A set of 17 interlinked global goals adopted by the United Nations in 2015 to be achieved by 2030, addressing poverty, inequality, climate, and environmental degradation.
Core Sustainability & ESGSustainable Finance
Financial activity that incorporates environmental, social, and governance considerations into investment and lending decisions to support a sustainable economy.
Sustainable Finance & InvestmentSustainable Finance Disclosure Regulation SFDR
An EU regulation requiring financial market participants to disclose how they integrate sustainability risks and impacts, and classifying funds under categories commonly referred to as Article 6, 8, and 9.
Regulation & PolicyT
Task Force on Climate-related Financial Disclosures TCFD
A framework that recommended companies disclose climate-related risks and opportunities across governance, strategy, risk management, and metrics; its work has been absorbed into the ISSB standards.
Disclosure Frameworks & StandardsTaskforce on Nature-related Financial Disclosures TNFD
A framework providing recommendations for organizations to assess, manage, and disclose their dependencies and impacts on nature and biodiversity.
Disclosure Frameworks & StandardsTax Transparency
The disclosure of how and where a company pays tax, used to assess whether it contributes fairly in the jurisdictions where it operates.
Governance (the “G”)Taxonomy Alignment
The extent to which a company's activities or an investment meets the technical screening criteria of the EU Taxonomy.
Regulation & PolicyThematic Investing
Allocating capital to a specific sustainability theme, such as clean energy, water, or gender diversity, expected to outperform over time.
Core Sustainability & ESGTheory of Change
A methodology that maps how and why a set of activities is expected to lead to specific social or environmental outcomes and long-term impact.
Core Sustainability & ESGThird-Party Verification
The review of a company's sustainability data or claims by an independent external organization to confirm accuracy and credibility.
Measurement, Reporting & AssuranceTipping Point
A threshold in the climate system that, once crossed, leads to large, accelerating, and often irreversible changes, such as ice-sheet collapse or rainforest dieback.
Climate Science & EmissionsTransition Bond
A debt instrument that funds a high-emitting company's shift toward lower-carbon operations, where green-bond labels may not yet apply.
Sustainable Finance & InvestmentTransition Finance
Capital directed at helping high-emitting sectors and companies decarbonize, recognizing that not all activity can be immediately green.
Sustainable Finance & InvestmentTransition Plan Taskforce TPT
A UK-convened body that developed a gold-standard framework for companies to disclose credible climate transition plans.
Organizations, Bodies & AcronymsTransition Risk
Financial and business risk arising from the shift to a low-carbon economy, including policy changes, new technology, shifting demand, and reputational pressure.
Climate Science & EmissionsTriple Bottom Line TBL
An accounting framework that measures performance across three dimensions — people, planet, and profit — rather than financial returns alone.
Core Sustainability & ESGU
UN Environment Programme Finance Initiative UNEP FI
A partnership between the UN and the financial sector to mobilize finance for sustainable development.
Organizations, Bodies & AcronymsUN Guiding Principles on Business and Human Rights UNGPs
A global standard setting out the corporate responsibility to respect human rights and to provide remedy for harms.
Social (the “S”)United Nations Global Compact UNGC
A voluntary initiative calling on companies to align strategies and operations with universal principles on human rights, labor, environment, and anti-corruption.
Organizations, Bodies & AcronymsUniversal Owner
A large, diversified investor, such as a pension fund, whose holdings span the whole economy, giving it an interest in systemic outcomes like climate stability.
Sustainable Finance & InvestmentUpcycling
Reusing materials or products to create something of higher quality or value than the original.
Circular Economy & ResourcesUse of Proceeds
A core principle of labeled bonds requiring issuers to specify and track how raised capital is allocated to eligible sustainable projects.
Sustainable Finance & InvestmentV
Virtual Power Purchase Agreement VPPA
A financial PPA in which the buyer does not take physical delivery of power but settles the difference against a fixed price, used to procure renewable energy attributes.
Energy Transition & Clean PowerVoluntary Carbon Market VCM
A decentralized market where companies and individuals buy carbon credits voluntarily to offset emissions, outside any regulatory mandate.
Net Zero, Carbon Markets & OffsetsW
Waste Hierarchy
A ranking of waste-management options from most to least preferable: prevention, reuse, recycling, recovery, and disposal.
Circular Economy & ResourcesWater Stewardship
The responsible use and management of water resources that is socially equitable, environmentally sustainable, and economically beneficial.
Nature, Biodiversity & WaterWater Stress
A condition in which demand for water exceeds available supply or when poor quality restricts its use, a growing risk for many industries.
Nature, Biodiversity & WaterWhistleblower Protection
Policies and legal safeguards that protect employees who report misconduct, fraud, or wrongdoing from retaliation.
Governance (the “G”)Wind Power
Electricity generated by turbines that convert the kinetic energy of wind, deployed onshore and increasingly offshore.
Energy Transition & Clean PowerWorker Voice
Mechanisms that allow employees to express views, raise concerns, and influence decisions, including grievance channels and representation.
Social (the “S”)World Business Council for Sustainable Development WBCSD
A CEO-led organization of companies working to accelerate the transition to a sustainable world, and co-author of the GHG Protocol.
Organizations, Bodies & AcronymsWorld Resources Institute WRI
A global research organization focused on the intersection of environment and development, and co-author of the GHG Protocol.
Organizations, Bodies & AcronymsZ
Zero Waste
A goal of designing and managing products and processes to eliminate the volume and toxicity of waste sent to landfill or incineration.
Circular Economy & ResourcesNo matching terms
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