Toxic sustainable companies? A critique on the shortcomings of current corporate sustainability ratings and a definition of ‘financial toxicity

Abstract

Building on critical literature on corporate sustainability, we add a perspective thus far only scarcely addressed: The toxicity of financial products imposing systemic risk. We start with various illustrative cases from the financial sector which have also been discussed colorfully in the media. This sets the stage for toxic assets and practices as revealed after the onset of the financial crisis precipitated by the collapse of Lehman Brothers. To illustrate corporate toxicity we use the “Global 100 Index” from “Corporate Knights” to Show more