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The Influence of Institutional Investors on ESG Decision Making within Insurance Companies : A Qualitative Analysis of Sustainable Investment Policy

Veld, R.N. van 't (2025) The Influence of Institutional Investors on ESG Decision Making within Insurance Companies : A Qualitative Analysis of Sustainable Investment Policy.

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Abstract:This thesis examines the pressure from institutional investors on the integration of ESG criteria into insurers' investment policies. Sustainable investment is gaining more attention in the financial sector, with insurers facing the challenge of incorporating non-financial aspects, such as environment and society, into their decision-making processes in addition to financial risks. The study focuses on whether and how external pressure from these investors leads to adjustments in insurance companies' ESG strategies. In this study, a qualitative research method was chosen, involving semi-structured interviews with investment policy representatives of three insurers. Relevant policy documents were also analysed. This triangulation provides valuable insights into both internal decision-making processes and the role of external influences, such as the implementation of new regulations like the CSRD and SFDR and social pressure. This study concludes that insurers perceive no significant pressure from institutional investors when it comes to integrating ESG criteria into investment strategies. Insurers are mainly internally driven to make their investments more sustainable. This is done through industry-wide agreements, such as the IMVO covenant and climate commitments, and the need to comply with stricter regulations, such as the CSRD and SFDR.
Item Type:Essay (Master)
Faculty:BMS: Behavioural, Management and Social Sciences
Subject:85 business administration, organizational science
Programme:Business Administration MSc (60644)
Link to this item:https://purl.utwente.nl/essays/106214
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