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ESG and the cost of capital | FVS podcasts

Apr 25, 2023 · 19 min listen

Host: Nene Gianfala, CPA/ABV, CEIV, ASA-BV/IA, Chaffe & Associates, Inc.

Guest: Randy Priem, Belgian Financial Services and Markets Authority (FSMA), Finance Professor @ University of Antwerp + UBI Business School

Randy Priem is an expert on market infrastructures and financial benchmarks at the Belgian Financial Services and Markets Authority (FSMA). In his white paper (link below) he analyzes the impact of a company’s ESG score on its cost of capital, including if a high ESG score serves as a substitute for a weaker legal environment.

During our interview, we do a deep dive into

  • The inspiration for the article

  • Key factors analyzed and data inputs

  • How can appraisers incorporate into business valuation?

  • ESG: fad or common sense?

  • Beware of greenwashing

For Further exploration on this topic:

If you’re using a podcast app that does not hyperlink to the resources, please visit https://fvssection.libsyn.com/fvs to access the show notes with direct links.

If you are interested in learning more about ESG, check out these AICPA resources:

Randy’s White Paper, “The Impact of a Firm’s ESG Score on Its Cost of Capital: Can a High ESG Score Serve as a Substitute for a Weaker Legal Environment” December 2022

This podcast episode is part of the extensive resource library available from the AICPA’s Forensic and Valuation Services Section, the premier provider of guidance, tools, and advocacy for professionals who specialize in providing forensics, valuation, litigation, and fraud services. Visit us online at www.aicpa-cima.com/topic/forensic-services, and if you’re not already a member, consider joining this active community of your FVS peers. You’ll get free CPE, and access to rich technical content.

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