In this article, we apply a machine learning technique—symbolic regression—to examine the relative performance of the Russell 2000 compared to the S&P 500. Our objective is to gain deeper insights into their comparative dynamics and identify potential predictive patterns. Continue reading Interpretable Machine Learning in Finance: A Case Study Using Symbolic Regression (1)
Non-fungible tokens (NFTs) are unique digital assets that represent ownership of distinct items such as art, collectibles, and virtual property. Unlike cryptocurrencies like Bitcoin or Ethereum, which are interchangeable, each NFT is one of a kind, verified on a blockchain Continue reading The Economics of the NFTs Market and Its Potential to Drive Sustainability: Part 1
The advancement of AI introduces new dimensions to CSR in relation to animal welfare. This article discusses how AI can impact animal welfare and underscores the importance of integrating AI considerations into the CSR policies and practices of relevant industries. Continue reading AI, Animal Welfare & CSR
According to the Global Impact Investing Network (GIIN), global impact investments reached over $1.571 trillion in assets under management in 2024, with high-profile sectors such as renewable energy, healthcare, affordable housing, and education drawing the lion’s share of attention. Yet, beyond these well-trodden paths lies the arts and culture sector—a less visible but intriguing area for exploration. Continue reading Impact Investing in the Arts: Trends, Critiques, and Evaluation Methods
Scalability in the bioeconomy involves a variety of context-specific considerations that can differ widely based on the technology or product. Academic studies offer valuable examples that illustrate how scalability is assessed across diverse bioeconomy sectors, shedding light on the methods used to evaluate scale-up potential. Continue reading Scalability as a Key Consideration in Bioeconomy Financing: Part 2
Assessing scalability is vital for evaluating a project’s growth potential and likelihood of success. It measures how efficiently a business model or technology can expand without compromising quality or performance. In finance, scalability analysis helps investors determine Continue reading Scalability as a Key Consideration in Bioeconomy Financing: Part 1 (with Infographics)
Local Interpretable Model-Agnostic Explanations (LIME) is another technique commonly used in financial studies to improve the explainability of AI-based decision-making. LIME works by approximating the predictions of black-box AI models with simpler Continue reading Explainable AI through the Lens of Finance: Part 2
Ecotourism is a form of responsible travel that seeks to minimize the negative impacts of tourism on the environment and local communities. It focuses on protecting natural areas and promoting sustainable practices, while also contributing to the economic development of host communities. Continue reading Ecotourism: Assessing Suitability, Measuring Impact, and Exploring Financing Options (1)
As artificial intelligence (AI) increasingly permeates various sectors, the importance of explainability has become a focal point in discussions around AI ethics. One major concern is that many AI models function as “black boxes.” Continue reading Explainable AI through the Lens of Finance: Part 1 (with Infographics)
AI is emerging as a powerful catalyst for sustainable business practices. It contributes to sustainability by developing eco-friendly products, reducing energy consumption, and enhancing resource management in manufacturing. Additionally, AI supports sustainable supply chains and promotes environmentally conscious consumer behavior. Continue reading Harnessing AI for Sustainable Business
In the context of option hedging, deep learning and reinforcement learning can adapt to complex and evolving market dynamics, incorporating factors such as transaction costs, liquidity constraints, and risk preferences into their decision-making processes. By leveraging these techniques, option hedging strategies can be optimized in a more flexible and responsive manner Continue reading Explaining Option Hedging with AI: Deep Learning and Reinforcement Learning Approaches
Natural capital conservation and restoration projects often do not align with the typical financial valuation models used in investment analysis by private investors. There is a need for a framework that translates ecological concepts into terms understandable within conventional financial contexts. Continue reading Connecting Natural Capital Conservation and Restoration with Financial Markets: The Role of Return on Investment (ROI)
This article delves into the major critiques of causality in philosophy, exploring the complex issues that arise when examining the foundations of cause and effect, as well as the practical challenges of establishing causality in machine learning and data analytics. Continue reading Critiquing Causality: Philosophical Foundations and Technical Challenges in Machine Learning and Analytics
AI has significant implications for fiduciaries in business and finance. Both neglecting to utilize AI and blindly deferring to AI decisions can constitute breaches of the duty of due care. For investment advisors, it is crucial to assess the risks associated with AI, such as AI-driven market manipulations and the amplification of systemic risk. In the age of AI, continuous learning is essential for fiduciaries to stay informed and effectively fulfill their responsibilities. Continue reading Fiduciary Duties in the Age of AI: Broad Business Implications and Financial Sector Specifics
Fuzzy regression discontinuity design (RDD) is a statistical method used to estimate causal effects when treatment assignment is based on a continuous variable with some uncertainty or fuzziness in the assignment mechanism. Fuzzy RDD acknowledges this uncertainty by allowing for the possibility that units near the threshold score may have a non-zero probability of being assigned to either treatment or control groups Continue reading Fuzzy Regression Discontinuity Analysis in Python – An Introduction and Application in ESG Studies
Understanding the multi-faceted nature of seafood sustainability is crucial for responsible production and consumption. This involves recognizing the importance of sustainable fishing practices that prevent overfishing, the need for aquaculture methods that minimize environmental impact, and the preservation of marine habitats to maintain biodiversity. Additionally, it requires attention to social and economic factors, ensuring fair labor practices and supporting local communities. Continue reading Understanding Sustainable Seafood: Essential Perspectives
Artificial intelligence (AI) has become ubiquitous today, influencing diverse sectors like healthcare, finance, and beyond. While various associations, organizations, and private entities have established AI ethics principles, ensuring ethical AI operation presents significant challenges. From tackling biases in datasets to enhancing transparency in decision-making processes, operationalizing ethical principles is a complex endeavor. Continue reading Operationalizing AI Ethics: Navigating Complexity
As the importance of Nature-Based Solutions (NBS) continues to increase, efforts to design effective assessment indicators have correspondingly grown. This is crucial for securing financing for such projects. Both pre-and post-implementation assessments of NBS necessitate the use of scientifically robust indicators. Continue reading From Concept to Capital: Challenges, Potentials, and Metrics in Financing Nature-Based Solutions: Part 3
The timeline of the EU’s regulatory changes regarding ESG investing and sustainable finance encompasses several pivotal developments aimed at bolstering transparency, combating greenwashing, and promoting sustainable investment practices. Continue reading Visualizing the Evolution of the EU’s ESG Investing Regulations: An Infographic Timeline
In the era of AI, corporate social responsibility (CSR) has become increasingly complex. Whether companies are involved in developing AI technologies or utilizing AI applications, CSR efforts must now encompass a range of issues related to AI, including its impact on human autonomy. Continue reading The Intersection of AI, Autonomy, and CSR: A Philosophical Inquiry: Part 2
Human autonomy refers to the capacity of individuals to make self-directed decisions and take actions that reflect their own values, preferences, and goals, free from undue external influence or coercion. Continue reading The Intersection of AI, Autonomy, and CSR: A Philosophical Inquiry: Part 1
In the ever-growing recognition of the pivotal role that Nature-Based Solutions (NBS) can play in addressing environmental challenges, there has been a notable surge in the private sector’s engagement in financing Nature-Based Solutions. Continue reading From Concept to Capital: Challenges, Potentials, and Metrics in Financing Nature-Based Solutions: Part 2
The development of sustainable textiles and dyes has become a prominent research topic in several scientific fields, among which biotechnology stands out for its potential to mitigate the environmental impacts of the fashion industry. Continue reading Sustainable Fashion: Part 2—Biotechnology Innovations
Life Cycle Assessment (LCA) is a globally recognized method used to quantify the environmental impact of a product, technology, or management process Continue reading Sustainable Fashion: Part 1—An Introduction to Life Cycle Assessment
In the face of the challenges presented by climate change, urbanization, and environmental degradation, there is an increasing recognition of the significance of nature-based solutions (NBS). Continue reading From Concept to Capital: Challenges, Potentials, and Metrics in Financing Nature-Based Solutions: Part 1
As the concept of the circular economy has evolved and been implemented, numerous circular economy indicators have emerged—likely more than most individuals can easily process or comprehend. Hence, the need for classifying frameworks becomes crucial to help people identify the most relevant indicators. Continue reading Navigating Circular Economy Financing: Opportunities, Hurdles, and Assessment Approaches: Part 3
Discover the interconnectedness of economic systems and ecological sustainability through visually rich and interactive content designed to captivate learners and inspire a holistic perspective on the crucial issues at the nexus of economics and the environment. Continue reading Exploring Ecological Economics and Finance: Interactive Images for Engaged Learning (2)
Research shows that a shift towards sustainable lifestyles may be more effective if driven by the fundamental human striving for meaning and wellbeing, rather than ecological concerns. Continue reading Some Notes on Wellbeing Economics
As industries worldwide strive to adopt circular economy (CE) principles, the imperative for robust indicators and assessment methodologies to quantify circularity becomes increasingly pronounced. Continue reading Navigating Circular Economy Financing: Opportunities, Hurdles, and Assessment Approaches: Part 2
In the landscape of contemporary economics, the Circular Economy (CE) emerges as a pivotal concept with far-reaching implications. It embodies a paradigm shift that challenges the linear “take-make-dispose” model and fosters sustainability. Continue reading Navigating Circular Economy Financing: Opportunities, Hurdles, and Assessment Approaches: Part 1
Going beyond mere automation, AI endeavors to comprehend and respond to the nuanced emotions of clients, thereby fostering deeper connections and enriching the overall customer experience. However, the promising emergence of artificial empathy also raises significant concerns regarding the risk of oversimplification. Continue reading AI and Empathy—From Healthcare to Business: Part 2
Across various sectors, AI systems are confronted with the intricate task of understanding and replicating human empathy. However, the central challenge lies in ensuring that these responses are genuinely empathetic rather than mere pre-programmed scripts. Continue reading AI and Empathy—From Healthcare to Business: Part 1
Sustainable peace and corporate social responsibility (CSR) share an intrinsic connection that goes beyond explicit peacebuilding efforts. While initiatives targeting peace are essential components of CSR, it’s equally crucial Continue reading Sustainable Peace and Corporate Social Responsibility
Sustainability concerns have been raised regarding numerous industries, and the cosmetics industry is no exception. The environmental impacts of this industry are of particular interest due to Continue reading From Eco-friendly Formulas to Ethical Choices: Sustainability in Cosmetics
Deep-sea biodiversity plays a crucial role in enhancing ecological resilience, both within the deep sea itself and in the broader context of Earth’s ecosystems. Continue reading Exploring the Depths: The Significance of Deep Sea Biodiversity, Economic Valuation, and Limitations of Mitigation Banking
Explore the deep links between Nature Connectedness, Well-Being, and Sustainability. Delve into the restorative power of nature, our ethical duty to protect it, and the path to a more sustainable future. Join us on this journey of discovery. Continue reading Nature Connectedness, Well-Being, and Sustainability
In the rapidly evolving landscape of artificial intelligence (AI), the imperative to establish robust accountability mechanisms has never been more crucial. Continue reading Establishing Accountability in AI: Navigating Challenges, Solutions, and Implications for Business and Finance
Robo-financial advisors, commonly known as robo-advisors, merge profound financial expertise with cutting-edge technological innovation to offer automated and sophisticated investment strategies. Continue reading Robo-Financial Advisors: Unveiling Positive Impact, Limitations, and Investor Protection
Sedentary behavior, characterized by extended periods of sitting or reclining with minimal physical movement, has detrimental effects on both physical and mental well-being. It is considered an indicator of human well-being in the Equitable and Sustainable Well-Being Index (BES), a benchmark used in Italy to assess annual quality of life. Continue reading Improving Well-Being by Breaking Up Sedentary Habits
In this series, we invite you to immerse yourself in a visual and interactive experience that will not only demystify ecological economics and finance but also foster a deeper appreciation for Continue reading Exploring Ecological Economics and Finance: Interactive Images for Engaged Learning (1)
As NFTs rise as a unique asset class, they bring both opportunities and risks for creators and investors, sparking discussions on fairness and equity. Continue reading NFTs and the Creative Economy: Exploring the Potential and Risks of Investing in Digital Art and Collectibles
Carbon Capture and Storage (CCS) is a technology and process intended to mitigate carbon dioxide (CO2) emissions from diverse sources. It involves Continue reading Unveiling the Evaluation Complexities in Carbon Capture Financing
Financial literacy stands as the foundation for achieving financial inclusion, a fact that is becoming increasingly evident from the extensive media coverage and public attention it receives. Continue reading Financial Literacy As a Prerequisite to Financial Inclusion
In the realm of community development, inspiration is drawn from a diverse array of philosophical ideas, each contributing to the pursuit of meaningful progress and societal well-being. Continue reading Community Development – From Philosophical Exploration to High-Impact Investing
AI has become an integral part of our daily experiences, influencing various aspects of how we interact with the world. As we venture into this realm of technological wonder, it becomes essential to contemplate its implications on the quest for … Continue reading AI, Meaning in Life, and Business Ethics
In a world where financial gains and positive social change often seem at odds, a powerful movement is emerging that challenges the status quo. It’s called impact investing, and it’s revolutionizing the way we think about the role of capital in shaping our future. Continue reading Some Notes on Impact Investing
Weather derivatives are financial instruments designed to manage or hedge against weather-related risks. They provide a means for organizations and individuals to protect themselves from financial losses resulting from adverse weather conditions. Continue reading Using Weather Derivatives to Mitigate Weather-Related Risk in a Changing Climate
This is a fun HTML quiz game that aims to educate readers about the fundamentals of corporate sustainability reporting. Continue reading A Game to Learn About Sustainability Reporting: Part 2
Ecosystem resilience refers to the capacity of an ecosystem to resist, recover from, or adapt to disturbances while maintaining its essential structure, function, and Continue reading Ecosystem Resilience and Sustainable Resource Management: Part 1 – Definitions and Underlying Mechanisms
Economic Environmental Valuation (EEV) is a framework that assigns monetary value to environmental goods or services that are not typically traded Continue reading Ecosystem Resilience and Sustainable Resource Management: Part 2 – Measuring Resilience and Integrating it into Economic Environmental Valuation
Epistemic injustice is a concept within social epistemology that pertains to the injustice individuals experience in their role as knowers or epistemic agents. It was first introduced by philosopher Miranda Fricker in 2007. Continue reading Understanding and Addressing Epistemic Injustice in Business and Finance
Investors should be mindful that while many funds may label themselves as ESG funds, the specific criteria and approaches for incorporating environmental, social, and governance factors can vary Continue reading Navigating the Landscape of ESG Investing: Importance of Research and Due Diligence
Green buildings, also referred to as eco-friendly buildings, have gained popularity over the past few decades among individuals who are environmentally conscious Continue reading Investing in Eco-Friendly Buildings Using Green REITs
Climate change risk has received increasing attention from the asset management industry in recent years. A growing number of asset managers Continue reading Climate Change Risk Integration in Portfolio Management: An Introduction
Green bonds are fixed-income instruments whose proceeds are committed to financing projects that mitigate climate change, facilitate climate adaptation, or promote other environmental sustainability purposes Continue reading The Promise of Green Bonds: Are They Delivering?
Corporate social responsibility (CSR) is a form of corporate self-regulation that represents the collective efforts of the private sector to promote environmentally, ethically, and socially responsible practices Continue reading How to Make Effective Corporate Social Responsibility (CSR) Communication?
Regression discontinuity design (RDD) is a statistical method used to estimate the causal effect of a treatment or intervention by exploiting a naturally occurring discontinuity in a variable Continue reading Regression Discontinuity Design: A Powerful Tool for Analyzing Social and Socio-Economic Issues and How to Use it in Python
The damage cost avoided method is based on the premise that the value of an ecosystem function can be calculated by estimating Continue reading An Introduction to Ecosystem Services and Their Economic Valuation: Part 3 – Two Examples of Economic Valuation of Ecosystem Services
In recent years, research on ecosystem services has garnered a lot of attention and has been recognized as a “cornerstone of Continue reading An Introduction to Ecosystem Services and Their Economic Valuation: Part 2 – Economic Valuation of Ecosystem Services
Generally speaking, the term ‘ecosystem services’ refers to the contributions that the structure and function of ecosystems make to the health and well-being of human beings Continue reading An Introduction to Ecosystem Services and Their Economic Valuation: Part 1 – Definitions
The success of a sustainable product strategy depends on consumers’ acceptance of the product and their willingness to pay for it. Sustainable products are usually priced higher than Continue reading Determinants of Consumers’ Willingness to Pay More for Sustainable Products
This is a fun HTML quiz game that aims to educate readers about the fundamentals of corporate sustainability reporting. Continue reading A Game to Learn About Sustainability Reporting: Part 1
Water-related risks can have significant impacts on a company’s financial performance and long-term value, making it crucial for investors to understand and assess these risks. Continue reading Tools for Evaluating Water-Related Business Risks: A Primer for Investors
Meaningful work is one of the most important ingredients for a happy life. However, according to the State of the Global Workplace 2022 Report released by the global analytics and advice firm Gallup Continue reading Meaningful Work
The aquaculture industry is one of the fastest-growing industries in the world, and it has the potential to become a significant source of food for a growing global population Continue reading Sustainable Aquaculture
Private investment in renewable energy is affected by many factors, including government policies, regulatory frameworks, market conditions, technological developments, and investor attitudes Continue reading Determinants of Private Investment in Renewable Energy
Biodiversity offsetting is based on the “explicit calculation of losses and gains at the impact and offset sites” Continue reading Biodiversity Offsetting – Addressing Biodiversity Loss Through Compensatory Mitigation: Part 2
Biodiversity offsetting is a conservation approach that involves compensating for the loss of biodiversity caused by human activity with conservation gains in a different location Continue reading Biodiversity Offsetting – Addressing Biodiversity Loss Through Compensatory Mitigation: Part 1
Green roofs provide an excellent example of how mitigation and adaptation efforts can be integrated to produce synergistic benefits. Continue reading When the Whole Is Greater Than the Sum of the Parts – About the Integration of Climate Change Adaptation and Mitigation: Part 2
This article introduces the difference between climate change mitigation and adaptation, and the prospect of integrating the two into climate planning. Continue reading When the Whole Is Greater Than the Sum of the Parts – About the Integration of Climate Change Adaptation and Mitigation: Part 1
The subcategories in S-LCA represent specific areas of social impact that are relevant to particular stakeholder categories. Continue reading Social Life-Cycle Assessment: A Methodology for Assessing the Social Impacts of Products: Part 2
A social life cycle assessment (S-LCA) is a methodology used to evaluate the actual and potential social and socio-economic impacts of a product Continue reading Social Life-Cycle Assessment: A Methodology for Assessing the Social Impacts of Products: Part 1