Reputational & ESG Risks

The chance of losses due to declining reputation from practices or incidents perceived as dishonest, unethical, or incompetent.

The risk of legal penalties, investor divestment, and reputational harm from failing to comply with mandatory ESG regulations and disclosure frameworks.

The risk of legal liability, fines, and cleanup costs associated with pollution incidents, such as chemical spills, air emissions, or land/water contamination.

Legal, reputational, and operational risks stemming from unethical labor practices or human rights abuses within a company's global supply chain.

Risk of financial loss and operational disruption from the direct physical impacts of climate change, including acute events (hurricanes, floods) and chronic changes (rising temperatures, water scarcity).

Negative perception among customers, investors, and the public due to unethical behavior, product failures, environmental incidents, or poor customer service, leading to loss of revenue and market share.