In this video, we examine the role of an ESG analyst as a fulfilling sustainability career. We look at what an ESG analyst does in their career, the skills and education required to be an ESG analyst, how much an ESG analyst makes and how to become an ESG analyst. Whether you are an environment science, environmental studies, or environmental sustainability student - this video will help you make informed career decisions!

Career description:

Before diving into the description of an ESG analyst, it is important to cover what ESG is and its significance. ESG stands for environment, social and governance. The environment component refers to the environmental impacts and risk management practices of an organization. The social division refers to the organization’s relationship with all involved persons such as employees, stakeholders, and the communities it operates with. Lastly, governance refers to the management of an organization and the type of internal controls that promote transparency and accountability. It is important for organizations to report on their impacts of these 3 pillars to provide transparency to stakeholders and investors, leading to a more trusting relationship. An ESG report can analyze an entire industry, a company, or a single project. An ESG analyst would be the individual completing the activities that go into developing one of these ESG reports. The tasks that an analyst would typically undergo consist of analyzing the organizations current ESG practices including their supply chain strategies, energy use, greenhouse gas emissions, etc. This research could be done through reading previous reports as well as conducting surveys or interviews. Once the current practices of the organization are understood, the analyst would then look at potential risks and opportunities to fill the voids and ultimately improve the organization’s ESG pillars. A recommendation is then portrayed in a written report and occasionally a presentation to the organization head. An ESG analyst must provide reasoning as to why the organization should take their advice and what benefits it will provide them. ESG analysts commonly work for private equity firms and investment management firms, but anyone can use their services including the public sector.

Skills required to perform the job:

The skills required to perform an ESG analyst position well includes being proficient in research and data analysis. An ESG analyst must be able to extract all necessary information on a particular organization or project. Additionally, they must have a strong understanding of sustainability and the financial markets to provide sound advice. ESG analysts must also have strong written and verbal communication skills to comprise reports and effectively explain complex information.

Education required to get the job:

Most ESG analyst positions require a bachelor’s degree in a related field (i.e. environmental science, political science, business) as well as 3-5 years of ESG experience. The best way to start out in ESG would be to try and get an internship position or create an ESG position in your current company if you are in a related department. If an internship or ESG experience is not attainable there are some ESG courses and certificates that are available that might help set you apart from other individuals. Additionally, sustainability experience such as environmental research, risk policy, corporate social responsibility and climate change would be an asset.

Career salary range:

The salary range for an ESG analyst is variable depending on your location, employer, and experience. However, in Canada, the average salary is around $57K/year with an average of $7K/year in compensation.

Concluding remarks:

Overall, ESG analysts are becoming a very important position as more and more organizations are starting to report on ESG. ESG analysts are typically very detail-oriented individuals that are good at multitasking and work well in teams. If you believe you fit these requirements, then maybe an ESG analyst position is the fit for you!

свернуть