ESG Score Calculator

ESG composite score calculator combines Environmental, Social, and Governance dimensions into single rating. E:75 + S:60 + G:80 with equal weights = 71.7 composite. ESG ratings used by investors to screen holdings, by companies to track progress, by employees evaluating employer impact. MSCI, Sustainalytics, Refinitiv all publish ESG ratings.

Example: company scoring E:75 (strong climate practices), S:60 (decent labour relations), G:80 (excellent board composition). Equal-weighted composite: (75+60+80)/3 = 71.7. ABG rating (above average). Different providers weight differently - MSCI weights by industry materiality (oil company E weighted higher than software company E). Composite score useful for cross-company comparison.

ESG investing growth: 30T+ ESG-aligned assets globally. Active ESG funds, ESG ETFs (ESGV, SUSL), exclusion-based funds (no tobacco/weapons). Performance debate: ESG-aligned funds historically match or slightly outperform broad market - some studies show ESG screening reduces tail risk. Critical issues: greenwashing (companies claiming ESG without substance), inconsistent ratings (same company different scores from different providers), regulation tightening (EU SFDR, the relevant financial regulator climate disclosure rules).

Quick example

With environmental score of 75 and social score of 60 (plus governance score of 80 and environmental weight of 33%), the result is 71.8 / 100. Change any figure and watch the output shift — it's often more useful to see the pattern than to memorise the formula.

Which inputs matter most

You enter Environmental Score (0-100), Social Score (0-100), Governance Score (0-100), Environmental Weight %, and Social Weight %. Not every input has equal weight. Adjusting one input at a time toward extreme values shows which ones move the result most.

What's happening under the hood

Weighted average of E, S, G scores. Weights must sum to 100%. The formula is listed in full below. If the number looks off, you can retrace the calculation by hand — that's the point of showing the working.

Where this fits in planning

This is a "what-if" tool, not a forecast. Use it to test ideas before committing: what happens if the rate is 2% lower than hoped, what happens if you add five more years. The value is in the scenarios you run, not the single answer you get from the defaults.

What this doesn't capture

Steady-rate math ignores real-world volatility. Actual returns are lumpy; sequence-of-returns risk matters most in drawdown; fees and taxes drag on compound growth; and behaviour changes in drawdowns can reduce outcomes below the projection. The number represents one scenario rather than a forecast.