No, Impact Investing significantly differs from investing according to ESG criteria. ESG stands for Environment, Social, and Governance. Both fall under the category of sustainable investing, but an ESG rating is closer to traditional financial analysis. ESG risks and opportunities are identified for a company to increase financial returns. On the other hand, Impact Investing aims to direct money to companies that positively impact people and the environment while generating a return. Learn more about sustainable investing in our <a href='/impact-academy' target='_blank'>Impact Academy.</a>