The two exposés were created for an 80-page master’s thesis. The first one was the initial version, while the second exposé was prepared after appropriate corrections, focusing on limitations and other aspects.
I am looking for a writer for the 80 pages who can also expand on the selected literature. Which contents of the exposé or the table of contents would you adjust to achieve the best possible grade? What data from the asset manager is needed for very good research?
*Sustainability in Asset Management: The Integration of ESG Criteria in Medium-Sized Companies and Its Impact on Financial Performance and Risk Management**
**Exposé**
**Introduction**
The importance of sustainability in asset management is steadily increasing as more investors recognize the long-term benefits of sustainable investments. ESG criteria (Environmental, Social, Governance) play a central role in assessing the sustainability of companies and have significant impacts on their financial performance and risk management. This master’s thesis investigates how medium-sized companies integrate ESG criteria into their asset management strategies and examines the impact on their financial performance and risk management.
**Research Question**
How does the integration of ESG criteria influence the financial performance and risk management of medium-sized companies?
**Objective**
The objective of this master’s thesis is to explore the theoretical foundations and empirical evidence regarding the integration of ESG criteria and analyze their impact on the financial performance and risk management of medium-sized companies. It aims to demonstrate how ESG criteria can contribute to sustainable financial returns and improved risk management.
**State of Research**
The integration of ESG criteria in asset management has gained significant attention in recent years in both academic literature and practice. Numerous studies have examined the positive impacts of ESG integration on the financial performance of companies. Friede, Busch, and Bassen (2015) conducted a meta-analysis of over 2,000 empirical studies and found that ESG investments mostly have a positive or neutral impact on financial performance.
These findings suggest that sustainable investments are not only ethically and ecologically sound but can also be economically profitable. Eccles, Ioannou, and Serafeim (2014) draw a similar conclusion, arguing that sustainable business practices improve organizational processes, thereby enhancing performance.
Besides financial performance, ESG integration has significant implications for risk management. Bauer and Hann (2010) show that companies with robust environmental management systems tend to have lower credit risk. This is because such companies are better equipped to respond to regulatory changes and environmental challenges, enhancing their long-term stability and resilience.
Additionally, Gordon and Loeb (2001) highlight the economic aspects of investments in information security, which are part of governance criteria. Their research underscores the importance of security investments in mitigating financial risks arising from information security breaches. Overall, current research indicates that integrating ESG criteria can not only improve financial performance but also strengthen risk management, which is particularly relevant for medium-sized companies.
**Research Concept**
This master’s thesis employs a mixed research design that integrates both qualitative and quantitative methods to comprehensively investigate the impacts of ESG integration on the financial performance and risk management of medium-sized companies. The quantitative part of the research will focus on analyzing fund solutions and customer data from an asset manager. ESG strategies of the funds, as well as their financial performance and risk management capacities, will be evaluated using statistical methods. This data foundation enables a differentiated analysis of correlations between ESG criteria and the financial and risk-related outcomes of the funds.
In addition, qualitative expert interviews will be conducted to gain deeper insights into the practical challenges and benefits of ESG integration. These interviews will be directed at executives from medium-sized companies and capital market experts, who will share their experiences and perspectives on the implementation and impacts of ESG strategies. The qualitative analysis of the interviews will be conducted through content analyses, providing additional contextualization and nuances to the quantitative results. By combining both methods, a comprehensive picture of ESG integration in medium-sized companies is drawn, offering both theoretical insights and practical implications.
**Methodology**
The methodology of this work consists of a combination of literature review, empirical analysis, and expert interviews.
1. **Literature Review:**
The literature review forms the foundation of this master’s thesis and serves the theoretical underpinning. Existing studies on ESG criteria and their impacts on financial performance and risk management are analyzed. Relevant sources include:
– Eccles, R. G., Ioannou, I., & Serafeim, G. (2014). The Impact of Corporate Sustainability on Organizational Processes and Performance. Management Science.
– Friede, G., Busch, T., & Bassen, A. (2015). ESG and financial performance: aggregated evidence from more than 2000 empirical studies. Journal of Sustainable Finance & Investment.
– Bauer, R., & Hann, D. (2010). Corporate Environmental Management and Credit Risk. SSRN Electronic Journal.
– Gordon, L. A., & Loeb, M. P. (2001). Economic Aspects of Information Security Investment. ACM Transactions on Information and System Security.
– Derwall, J., Guenster, N., Bauer, R., & Koedijk, K. (2005). The Eco-Efficiency Premium Puzzle. Financial Analysts Journal.
– Eccles, R. G., Krzus, M. P., Rogers, J., & Serafeim, G. (2012). The Need for Sector-Specific Materiality and Sustainability Reporting Standards. Journal of Applied Corporate Finance.
– Clark, G. L., Feiner, A., & Viehs, M. (2015). From the Stockholder to the Stakeholder: How Sustainability Can Drive Financial Outperformance. University of Oxford and Arabesque Partners.
– Orlitzky, M., Schmidt, F. L., & Rynes, S. L. (2003). Corporate Social and Financial Performance: A Meta-Analysis. Organization Studies.
– Liang, H., & Renneboog, L. (2017). On the foundations of corporate social responsibility. The Journal of Finance.
– Kitzmueller, M., & Shimshack, J. (2012). Economic Perspectives on Corporate Social Responsibility. Journal of Economic Literature.
2. **Empirical Analysis:**
The empirical investigation focuses on existing fund solutions of the employer (an asset manager) and customer data. The ESG strategies of the funds are analyzed, and their financial performance and risk management evaluated. The analysis is conducted using quantitative data and statistical methods.
3. **Expert Interviews:**
To complement and deepen the empirical results, qualitative interviews with experts from medium-sized companies and capital market experts are conducted. These interviews provide additional insights into the practice of ESG integration and its impacts. The expert interviews are guided by a structured framework and subsequently analyzed through content analysis.
**Structure of the Thesis**
1. **Introduction:** Introduction to the topic, objective, and research question.
2. **Theoretical Foundations:** Definition and importance of sustainability in asset management, ESG criteria, and their relevance for medium-sized companies.
3. **Literature Review:** Overview of previous research on ESG criteria, their influence on financial performance and risk management, and their integration in medium-sized companies.
4. **Research Design and Methodology:** Detailed description of the research approach, data basis, data analysis, and execution of expert interviews.
5. **Empirical Investigation:** Analysis of fund solutions and customer data, results of the expert interviews.
6. **Discussion of Results:** Comparison with existing literature, interpretation of results, implications for theory and practice.
7. **Conclusion and Outlook:** Summary of findings, limitations of the study, recommendations for practice, and suggestions for future research.
8. **References**
9. **Appendix:**
Questionnaires, interview guides, and additional data and analyses are documented in the appendix.
**Sustainability in Asset Management: The Integration of ESG Criteria in Medium-Sized Companies and Its Impact on Financial Performance and Risk Management**
**Exposé**
**Detailed Description of the Research and Methodology**
The present work aims to investigate the integration of ESG (Environmental, Social, and Governance) criteria in medium-sized companies and analyze their impact on financial performance and risk management. A significant portion of the research will involve a literature review to ensure comprehensive coverage of the theoretical foundations.
**Research Steps:**
1. **Secondary Data Analysis:** Examination of existing fund solutions from the employer (Asset Manager) and their performance concerning ESG criteria. The quantitative analysis includes the evaluation of financial metrics and ESG ratings of these funds over a five-year period to identify trends and correlations.
2. **Literature Review:** Extensive research and analysis of high-quality scientific sources regarding the role of ESG criteria in asset management and their influence on financial performance and risk management.
3. **Expert Interviews:** Conducting interviews with capital market experts and representatives of medium-sized companies to gain practical insights and complementary qualitative data.
**Research Question**
To what extent does the integration of ESG criteria in medium-sized companies influence the financial performance and risk management of fund solutions offered by asset managers?
**Objective of the Work / Research**
The objective of this work is to examine the significance of ESG criteria in asset management and analyze their impact on financial performance and risk management in medium-sized companies. The aim is to determine how ESG criteria can contribute to sustainable and financially successful corporate management.
**Challenges and Limitations of the Methodology**
**Challenges:**
1. **Data Availability:** The availability and quality of ESG data may vary. Some medium-sized companies and fund managers might not report comprehensively on their ESG performance.
2. **Subjectivity in Expert Interviews:** The opinions and experiences of the interviewed experts may be subjective and could influence the results of the qualitative analysis.
**Limitations:**
1. **Limited Generalizability:** Since the study focuses on analyzing existing fund solutions of a specific employer and its clients, the results may not be generalizable to all asset managers or medium-sized companies.
2. **Temporal Limitation:** The analysis spans a period of five years, which might not be sufficient to evaluate long-term impacts.