AMDP Memo Rough Draft
TO: Clark Hansen, CEO, AMDP
FROM: Daniel Leung, R&D Analyst, AMDP
DATE: February 28th, 2023
SUBJECT: Investment Recommendation for AELER Technologies
I’m writing today to introduce a promising investment for AMDP. AELER Technologies is a company that addresses our mission of investing in socially responsible and environmentally sustainable organizations. It is both profitable and positioned to be an incredible disruptor in the global shipping industry. Outlined in this memo are the following:
A Review of AMDP Standards
Background on AELER Technologies
Analysis and Research
Investment Recommendation
AMDP Standards
Triple Bottom Line:
This is the idea that firms should measure their environmental and social impact in addition to just their profitability. Traditionally, the bottom line is profitability. However, the Triple Bottom Line introduces three “Ps”. I have briefly listed the Ps below:
Profitability: Revenue minus cost. How much money the company is making and how much financial value it is currently generating for its shareholders.
People: Focus on the stakeholders of the business. These include employees, customers, as well as people living in the areas of influence of these firms.
Planet: Impact of corporations on the planet and environment. These include carbon emissions and sustainability practices in the use of operations and raw materials.
Source: Harvard Business School
Corporate Social Responsibility:
Corporate Social Responsibility (CSR) refers to the management practice of achieving profitability but also meeting the Triple Bottom Line. CSR is a style of leadership in a company that intertwines environmental and important social concerns with its business operations.
Source: United Nations Industrial Development Organization
Social Enterprise:
A social enterprise is an organization that has two main goals: doing something environmentally or socially beneficial and maximizing its profit while running a solid business. Social enterprises typically have strong relationships with charities and non-profits. Profits are used to reinvest in the firm to help empower the continued pursuit of a socially beneficial mission, unlike normal firms that would give earnings to shareholders.
Source: Corporate Finance Institute
Carbon Footprint:
A carbon footprint is the total carbon dioxide emissions that an organization utilizes in its operations. It can be in the form of emissions from burning fossil fuels or utilizing energy sources as well as the emissions released in the process of producing products and materials. We measure one’s carbon footprint and carbon emissions through various ways. Some ways are the Green House Gas Protocol. Essentially, emissions are measured through the consumption of an organization. It is important to reduce carbon emissions because they lead to greater global warming which destroys ecosystems, melts glaciers, and (if allowed to run rampant) can endanger human lives.
Source: Encyclopedia Britannica , NASA
Background
Company Description
Financials
ESG and impact report
Recent News Developments
Analysis:
Going to work with librarian for this
2 expert opinions
Recommendation
Invest in this promising company. AELER Technologies is a promising player that will disrupt the global shipping industry.
Sources:
https://online.hbs.edu/blog/post/what-is-the-triple-bottom-line
https://corporatefinanceinstitute.com/resources/esg/social-enterprise/
https://www.britannica.com/science/carbon-footprint
https://climate.nasa.gov/effects/
I like how you included the sources below the definition, I think it looks much better than including in text citations after every sentence. I also think your definitions are clear and succinct. I am excited to read more about what exactly AELER Technologies is and how it would be a good investing opportunity for AMDP.
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