Customer Type

Financial institutions, Commercial banks

User Base

Financial institutions, Financial advisors, Investment managers, Risk managers

Background

The financial market has undergone a remarkable transformation as sustainability considerations have become critical drivers of investment decisions. Investors recognize that sustainable investments can generate long-term value, mitigate risks, and contribute to a more resilient and equitable global economy. This paradigm shift has led to a growing demand for education and training in sustainable finance practices. As stakeholders recognize the importance of integrating sustainability considerations into their investment strategies, the need for sustainability training has surged.

Recognizing the importance of integrating sustainability into financial decision-making processes, a financial institution customer contacted S&P Global Market Intelligence to develop a comprehensive training program. This program was designed to provide a solid foundation in sustainability concepts and delve deeper into environmental, social, and governance considerations. The objective was to equip stakeholders with the knowledge and tools to navigate the evolving sustainability landscape successfully.

The Board and management sustainability training was designed to address the fundamental aspects of sustainability and the specific needs and challenges faced by different stakeholders within the financial market. As a result, the structure of the curriculum was divided into two blocked modules covering the key topics and a third module that is customizable to the customer's needs:

• Module 1: An Introduction to Sustainability 
• Module 2: A Deep Dive Into Sustainability
• Module 3: Sustainable Investing for Financial Institutions

The training approach and delivery combined comprehensive content, interactive learning opportunities, ongoing assessments, and recognized certification. This curriculum provided a robust and engaging experience that equipped the customer's stakeholders with the necessary skills and knowledge to grow in sustainable finance.

Pain Points

The Chief Sustainability Officer of a financial institution approached S&P Global seeking guidance and expertise in educating their workforce. They inquired about a potential solution in the form of a sustainability training program for financial market stakeholders. Recognizing the growing importance of sustainability in the financial industry, the customer aimed to equip stakeholders with the skills to navigate the evolving landscape of sustainable finance confidently. The training objectives were to: 

• Address Market Demand: The customer recognized the increasing demand for sustainable finance knowledge and training. As a result, they decided to respond to this demand by offering a comprehensive training program that would improve the sustainability competencies of their stakeholders.
• Embrace sustainability Integration: The customer aimed to integrate environmental, social, and governance considerations into their decision-making processes. The proposed training curriculum would provide a basis to form informed decisions that align with sustainability objectives and enhance integration practices.
• Enhance Risk Mitigation Practices: As sustainability-related risks pose significant challenges to the financial industry, the customer sought to develop a training program enabling their stakeholders to identify, evaluate, and mitigate these risks.
• Customized Approach: Recognizing their organization's unique challenges and opportunities, the customer required a training program that could be tailored to their specific requirements. They sought to align the training content with their industry, investment focus, strategy, and sustainability goals.

 In response to the customer's request, our sustainability experts initiated the development of a solution. This involved creating a thorough training curriculum and presenting a customized proposal that addressed the customer's requirements. The proposal integrated industry best practices and offered customization options to enhance relevance and effectiveness.

Solution

The training encompassed a blend of both onsite and virtual sessions, allowing for flexibility and accessibility. The curriculum was divided into three modules, each consisting of twelve teaching units and offered onsite and virtual. The project team designed a structured and comprehensive learning experience in close alignment with the customer. After completing each module, participants engaged in interactive Q&A sessions facilitated by subject matter experts. These interactive sessions allowed participants to address any questions or clarify concepts covered in the training, thereby fostering a deeper understanding of the curriculum.

After completing each module, assessments were conducted to evaluate participants' comprehension and knowledge retention. These assessments tested participants' proficiency in applying sustainable finance principles to real-world cases and allowed for continuous improvement throughout the training.

Introduction to sustainability.	The training began with an introductory module establishing a solid sustainability fundamentals foundation. Participants explored key concepts, frameworks, and metrics, gaining a broad understanding of the significance and impact of environmental, social, and governance factors across industries.
Deep-dive into sustainability	Building upon the introductory module, the second module offered a more detailed overview of sustainability topics. Participants delved deeper into sustainability issues, such as climate change, social impact, human rights, diversity and inclusion, and corporate governance. They examined real-world examples via case studies, engaged in interactive discussions, and learned to evaluate sustainability-related risks and opportunities using industry-relevant tools and frameworks.
Sustainable investing for financial institutions.	The third module of this training program is customizable, allowing one to tailor the content based on the participants' specific backgrounds and interests. This module ensures the training remains relevant and practical for each organization, team, or individual involved.

Key Benefits

The advantages underscore the transformative impact of Board and management sustainability training on our customers. This training equips them with the knowledge to seamlessly integrate sustainability considerations into their decision-making processes, effectively manage risks, and align their practices with stakeholder expectations. Thus, through this solution, the customer gained access to the following benefits: 

• Enhanced understanding of sustainability: The training program equips customers with a solid knowledge of sustainability principles, frameworks, and regulations, enabling them to navigate the complex landscape of sustainable finance more effectively.
• Improved decision-making: By deepening their knowledge of sustainability factors, participants can make more informed investment decisions, considering the potential risks and opportunities associated with environmental, social, and governance considerations.
• Mitigate risks: Participants gain the ability to identify and evaluate sustainability risks, allowing them to incorporate risk management strategies that align with their organization's sustainability goals and reduce exposure to sustainability-related risks.
• Access to best practices: Participants gain insights into best practices in sustainable finance from various industries and sectors, enabling them to adopt and implement successful approaches in their organizations.
• Increased competitiveness: By embracing sustainable finance practices, customers can differentiate themselves in the market, attract socially responsible investors, and position themselves as leaders in sustainability within the financial industry.
• Strengthen reputation and brand value: By actively engaging in sustainable finance, customers can strengthen their reputation as responsible and sustainable organizations and add to their brand value.
• Regulatory compliance: Participants gain a thorough understanding of the evolving regulatory landscape in sustainable finance to help them comply with relevant frameworks, standards, and disclosure requirements.