A new academic study has identified stock exchanges as key stakeholders in the integration of sustainability in capital markets. The research, published in the Journal of Management Studies and co-authored by UN SSE Academy Head Tiffany Grabski and Professor Tina C. Ambos of the University of Geneva, highlights how stock exchanges can drive sustainable finance by facilitating collective action among market participants.
The study reveals that stock exchanges in Latin America are not just adapting to sustainability trends but actively shaping them through a structured, three-phase process: catalyzing sustainability discussions, brokering relationships between market players, and building the necessary infrastructure for sustainable finance. By leveraging their central role in financial ecosystems, these exchanges are transforming capital markets into platforms for sustainable economic growth.
“This research underscores the pivotal role that stock exchanges play in orchestrating the integration of sustainability into financial markets,” said Dr. Grabski. “It aligns with the UN SSE’s mission to support exchanges in their efforts to promote investment for sustainable development.”
The findings, summarized in a blog post on Management Studies Insights, emphasize the role of exchanges in setting new norms, providing education, and fostering market-wide adoption of sustainability practices. This study adds to the growing body of evidence supporting the role of financial markets in addressing global challenges such as the climate crisis. As stock exchanges worldwide continue to expand their sustainability initiatives, this research provides a valuable framework for understanding the role of exchanges as drivers of positive change.
