Module Directory

This module focuses on the vital role finance and financial systems have in the generation of sustainable economies with particular reference to climate change and investing. More specifically, it will cover the methods, effectiveness and performance of sustainable investing. Furthermore, the module will explore the risks and challenges of climate transition for companies, investors, and regulators.

The first section of the module concentrates on sustainable investing covering the sustainable development goals (SDGs), Environment, Social and Governance (ESG) data, and related financial instruments and strategies. The second section of the module covers the effect of sustainability issues on the financial sector examining areas including climate change policies and climate risks. The module will draw on real-world practice and cutting-edge research in the field. It is also well-aligned with the syllabus of professional qualifications in green and sustainable finance.

The aims of this module are:

• To provide students with a good knowledge of the nexus of finance and sustainability. To do so, the topics covered include climate science, ESG data, sustainable investing in equities and bonds, and the approach of stakeholders such as regulators, firms, and banks to sustainability.


• To introduce students to important concepts such as the greening of investment portfolios and the transition to a low carbon economy in banking and finance.


• To enable students to engage with different types of sustainability risks and their implications for companies and investors.

By the end of this module, students will be expected to be able to:

1. Evaluate critically the role of financial markets, institutions, firms and regulation for sustainability in individual countries and worldwide.


2. Identify and explain how investors may fully exploit the benefits of ESG data.


3. Analyse the use of sustainable investment instruments, such as green bonds.


4. Assess different types of climate risks such as physical and regulatory risks, biodiversity risks, and the role of stranded assets.


5. Demonstrate in-depth knowledge as to how stakeholders such as pension funds can employ green investments.

Skills for your Professional Life (Transferable Skills)

By the end of this module, students will be expected to have developed and improved the following employability-related skills:

1. Improve your commercial awareness by investigating the current trends in sustainable finance and investing, especially (but not limited to) recent trends in the use of ESG data and green fixed income.


2. Develop your research skills through the use of the ESG data.


3. Develop quantitative skills across different asset classes such as equites and bonds.


4. Enhance written communication skills through essay work.


5. Improve knowledge about climate change and critically evaluate the employment of sustainable investing.

Outline Syllabus

• The climate crisis, SDGs and ‘framework agreements’.


• Sustainable investment 1: ESG data and sustainability reporting.


• Sustainable investment 2: Equity investing.


• Sustainable investment 3: Green Bonds.


• Sustainable investment 4: Impact investing.


• Sustainable investment 5: PE, Pension funds and Sovereign Wealth.


• Sustainable finance 1: Corporate governance.


• Sustainable finance 2: Banking.


• Sustainable finance 3: Carbon Trading.


• Sustainable finance 4: Sustainable Fintech, Innovation and the Way Forward

This module will be delivered via:

• One 2-hour lecture per week.
• One 1-hour class per fortnight.
• One review session in the summer term.

Assessment methods

50% exam, 50% coursework assignment