With the current regulatory landscape placing emphasis on sustainable investing, it is important for companies and investors to assess whether they wish to have a focus on Environmental, Social, and Governance (ESG) criteria. If the answer is yes, a company should determine its expectations and goals when it comes to factors like sustainability, diversity, and transparency, whereas an investor should build a portfolio of companies that are working to meet certain criteria. Given the impacts of climate change and social change, exemplified by advancements in corporate culture, lenders see ESG compliance as a form of risk management, something that will work in companies’ and investors’ favor when it comes to obtaining funding. As companies prepare to adopt ESG initiatives, it is useful to review two other industry terms: Socially Responsible Investing (SRI) and Impact Investing. While these three terms are often used interchangeably, there are important differences. While ESG evaluation mainly serves as a risk and opportunity indicator for a company, SRI takes it a step further in that it might eliminate investment opportunities that don’t align with certain ethical considerations. Finally, Impact Investing is focused on making investments that maximize tangible social good, whereas the primary purpose of ESG investing remains financial returns. Keeping these three terms in mind will help companies navigate their priorities, in the financial and ethical sense.