INSTRUCTIONS
ASSESSMENT 1: CASE SUBMISSION
Case 4: (Tesla & Triodos)
Value: 10% (900 words, +/-10%)
Due date (time): Monday 15 April 23:55
Learning Outcomes
• Appreciate the important role of a responsible financial institution in ethical and
environmental investment.
• Perform a real, but simplified, ESG research analysis and portfolio investment decision.
• Reflect on values and leadership implications of financial sector driving corporate
transformations towards a greener, more inclusive and prosperous society.
• Understand how financial institutions shape people’s future with their investment
decision making.
• Value a company using a price-to-earnings (P/E) multiple valuation approach.
• Recognize these effort drives to build a more just, equitable and sustainable society.
Purpose
Case Title: Financing change, changing finance: Should Triodos invest in Tesla?
This case study expand on the intersection of green energy investment and responsible
leadership within sustainable finance. It explores how a socially responsible investment
firm like Triodos might approach investing in Tesla, renowned for its innovations in electric
vehicles and renewable energy technologies.
Triodos Bank and responsible investment:
Triodos Bank is a pioneer in sustainable banking, with a focus on financing projects that
have positive social, environmental, and cultural impacts. As a responsible leader in the
finance sector, Triodos is committed to investing in companies that align with its values of
sustainability and ethical business practices.
Tesla’s contribution to green energy:
Tesla, led by visionary entrepreneur Elon Musk, is at the forefront of the transition to
sustainable transportation and renewable energy. The company's electric vehicles (EVs),
energy storage solutions, and solar products play a crucial role in reducing carbon
emissions and advancing the adoption of clean energy technologies worldwide.
Synopsis:
In 2020, Triodos Investment Management (Triodos) was a globally active impact investor
with around €4.9 billion assets under management. Triodos’s motto was “Finance Change.
Change Finance.” It believed the true purpose of investing was to generate social and
environmental impact alongside a healthy financial return. Triodos viewed sustainable
finance as a driving force in the transition to a more inclusive and sustainable world.
Tesla, a clean energy company that produced electric cars, batteries and
renewable energy generation, was a candidate that Triodos was evaluating for inclusion
in its investment universe. Henk Jonker, Triodos Investment Management´s Senior
Investment Analyst, Impact Equities & Bonds, decided to pose the challenge to Clarissa
Diaz, a high potential Triodos researcher. Triodos did a comprehensive review of the
companies in which it invested following the “4P” approach – product, people, process,
and planet. Triodos positively screened for companies that met one or more seven
transition themes (sustainable food and agriculture; sustainable mobility and
infrastructure; renewable resources; circular economy; prosperous and healthy people;
innovation for sustainability, and social inclusion and empowerment). With Tesla´s mission
in mind – “to accelerate the world’s transition to sustainable energy” – Diaz had to evaluate
Tesla’s impact on people and the planet. universe.
Thinking about the challenges ahead, Diaz believed that Tesla brought an
inherently good product to the table – electric cars – and that Elon Musk was a true
visionary and pioneer in the clean energy field, but she anticipated pushback from her
colleagues at Triodos on other environmental, social and governance (ESG) criteria. First,
she needed to write a compelling story about Tesla’s value proposition, as well as its
positive and negative impact on society and the environment. She had to weigh the
controversial ESG issues that merited the exclusion of Tesla with the company’s financial
valuation, innovative products and future potential.
The case focuses on responsible leadership and sustainable and responsible
investment. Students must put themselves in Diaz’s shoes and decide whether Triodos
should exclude or invest in Tesla. Because of the controversy surrounding Tesla, students
will also need to determine whether Tesla would be open to engagement if Triodos’s
decision were to be invest. To do so, students will be asked to perform a real, but
simplified, ESG research and portfolio investment analysis. They will also be asked to
reflect on the values and leadership implications of a proactive and forward-looking
financial sector that drives corporate transformations toward a greener, more inclusive
and prosperous society.
Instructions
Your case submission must include the following:
1. With independent research, write one short paragraph summarising Tesla’s value
proposition. A company’s value proposition is the full mix of benefits or economic value
which it promises to deliver to the current and future customers.1
2. Considering the ESG criteria, carefully evaluate Tesla. In one or two paragraphs,
a. discuss Tesla’s positive impact on people and the planet, and
1 This has been addressed during the in-class group activity.
b. identify and briefly explain any ESG controversial issues of Tesla found on the
Internet and in the media.2
3. Write a paragraph summarising Tesla’s valuation based on market multiples. Is there
any upside potential on Tesla for Triodos?
4. Based on the technical analysis (financial valuation – from part 3) and the ESG analysis
of Tesla (from part 2), would you (as Clarissa Diaz) invest in Tesla or exclude Tesla?
a. If your recommendation is to exclude, explain your reasoning.
b. If your recommendation is to include,
i. Would you recommend to include Tesla without reservations? Why?
ii. Would you recommend Triodos to engage with Tesla about the
controversial issues? Which ones and why?
Your decision-making process should also consider the investment approach of Triodos,
as well as Triodos’s own sets of value as a responsible leader.
This case study should be written in a reflective style that consolidate theories/concepts
and the case. You will need to respond to each of the points above in your assessment. At
minimum, the discussion in your submitted case study must be based on the resources
you have been provided on Moodle (such as the case study and additional reading). You
are also encouraged to back your arguments with evidence/research, and must include a
reference list of the sources in which any of the content discussed is based on.
You can go back to the supporting materials provided in your previous assessment to
understand how to approach writing a reflection. This resource can be used as a template:
● Pre-departure Case Summary: Deforestation in Brazil (Available in
Chapter 3, Lesson 1 on Moodle.)
2 This has been addressed during the in-class group activity. You are encouraged to summarise your
analysis and present them in a simple but concise manner.
Presentation requirements
 Word count: 900 words (+-10%)
 The Case report must be submitted on Moodle in a PDF document. It must be
logically organised and clearly structured.
 Double-space the text of your paper, and use Times New Roman or Arial. The font size
should be 12 pt. (you can follow the structure of the example provided below).
 Include page numbers (you can follow the structure of the example provided below).
 Save the file with the following title: Surname_Firstname_Case name (for example,
Smith_Jane_Tesla and Triodos Case.pdf). Five per cent (5%) will be deducted from
the final mark for the assessment if your file is not saved as a PDF, or with the
correct title format (refer to your rubric for details).
 All written components should be thoroughly proofread and edited.
Referencing requirements
 You are required to cite a minimum of 2 resources. You must fully reference any
material that you use.
 For this assignment you will use the latest Chicago (Notes) referencing style. For
guidance on how to reference and the different referencing styles, please refer to this
link .
 Your citations and Reference list DO NOT count towards your word limit.
Marking Criteria
Understand – This component assesses your understanding on the
concept of green investment and responsible leadership and the major
issues presented in the case study. This is assessed in all components of
this assessment.
/10
Synthesis – This component assesses your application of finance
concepts and theories related to the environment on case study, and is
assessed in Q1 and Q2 of this assessment.
/20
Evaluation – This component assesses the evaluation of complex
problems based on research, as well as comprehensive decision-making
and interpretation and justifications, and is assessed in Q3 and Q4 of this
assessment.
/40
Presentation – Reflexive writing
/20
Presentation – Referencing
/10
Initial Mark /100
Penalties:
Assessment not saved as a PDF file (-5% penalty)
Assessment not saved with correct file name (-5% penalty)
Presentation requirements not followed to the extent they make the
assignment difficult to read (-5% penalty)
Late submission of assessment (-10% penalty per day)
Final Mark /100
Learning Objectives &
Criteria
HD
Demonstration of extended
knowledge, skills and attributes at
an exceptional level, showing
fluency, originality and integration of
concepts
DN
Demonstration of extended
knowledge, skills and attributes at
a superior level, showing fluency
and emerging originality and
integration of concepts.
CR
Demonstration of fundamental
knowledge, skills and attributes
at a proficient level, showing
fluency in concepts.
P
Demonstration of fundamental
knowledge, skills and
attributes at a satisfactory
level.
Fail
Lack of satisfactory
demonstration of fundamental
knowledge, skills and
expected attributes.
Understand:
This component assesses
your understanding on the
concept of green
investment and
responsible leadership
and the major issues
presented in the case
study. This is assessed in
all components of this
assessment.
10 marks
Demonstrates insightful and
comprehensive understanding of
the main concepts and the case
study, and be able to accurately
identify all the issues arise in the
case study.
Mark: 8 – 10
Demonstrates comprehensive
understanding of the main
concepts and the case study, and
be able to identify most of the
issues arise in the case study.
Mark: 7 – 8
Demonstrates developed
understanding of the main
concepts and the case study,
and be able to identify some of
the issues arise in the case
study.
Mark: 6 – 7
Demonstrates understanding
of the main concepts and the
case study, and be able to
identify some of the issues
arise in the case study.
Mark: 5 – 6
Demonstrates superficial
understanding of the main
concepts and the case study,
and fails to identify the issues
arise in the case study.
Mark: 0 – 5
Synthesis:
This component assesses
your application of finance
concepts and theories
related to the environment
on case study, and is
assessed in Q1 and Q2 of
this assessment.
20 marks
Exceptional understanding and
application of relevant finance
concepts and theories to the case
studies. Demonstrates deep insight
and analysis of the case study,
revealing a comprehensive
articulation of the subject matter.
Mark: 16 – 20
Strong understanding and
application of relevant finance
concepts and theories to the case
studies. Demonstrates thorough
analysis of the case study,
revealing a solid articulation of the
subject matter.
Mark: 14 – 15
Good understanding and
application of relevant finance
concepts and theories to the
case studies. Demonstrates
competent analysis of the case
study, revealing a satisfactory
articulation of the subject
matter.
Mark: 12 – 13
Basic understanding and
application of relevant finance
concepts and theories to the
case studies. Demonstrates
basic analysis of the case
study, revealing a minimal
articulation of the subject
matter.
Mark: 10 – 11
Poor or no understanding and
application of relevant finance
concepts and theories to the
case studies. Demonstrates
little to no analysis of the case
study, revealing a lack of
articulation of the subject
matter.
Mark: 0 – 9
Learning Objectives &
Criteria
HD
Demonstration of extended
knowledge, skills and attributes at
an exceptional level, showing
fluency, originality and integration of
concepts
DN
Demonstration of extended
knowledge, skills and attributes at
a superior level, showing fluency
and emerging originality and
integration of concepts.
CR
Demonstration of fundamental
knowledge, skills and attributes
at a proficient level, showing
fluency in concepts.
P
Demonstration of fundamental
knowledge, skills and
attributes at a satisfactory
level.
Fail
Lack of satisfactory
demonstration of fundamental
knowledge, skills and
expected attributes.
Evaluation:
This component assesses
the evaluation of complex
problems based on
research, as well as
comprehensive decision-
making and interpretation
and justifications, and is
assessed in Q3 and Q4 of
this assessment.
40 marks
Exceptional evaluation of complex
problems and outcome
interpretation, justified by and
assumptions used in the evaluation
process. Excellent comprehension
on the implications for the case
study, demonstrating a deep
understanding of the subject matter.
Excellent research skills.
Mark: 35 – 40
Strong evaluation of complex
problems and outcome
interpretation, with most
assumptions stated. Strong
comprehension on the
implications for the case study,
demonstrating a solid
understanding of the subject
matter. Strong research skills.
Mark: 30 – 34
Good evaluation of complex
problems and outcome
interpretation, with some
assumptions identified. Good
comprehension on the
implications for the case study,
demonstrating a basic
understanding of the subject
matter. Good research skills.
Mark: 25 – 29
Basic evaluation of complex
problems and outcome
interpretation, with minimal
identification of assumptions
and their implications for the
case study, demonstrating a
rudimentary understanding of
the subject matter. Basic
research skills.
Mark: 20 – 24
Poor or no evaluation of
complex problems and
outcome interpretation,
lacking identification or
analysis of underlying issues
and their implications for the
case study, demonstrating
little to no understanding of
the subject matter. Poor
research skills.
Mark: 0 – 19
Presentation – Reflexive
writing
20 marks
The entry clearly and consistently
explains the students' point of
view/opinion in relation to their
chosen challenge. Written
expression skilfully communicates
meaning to readers with clarity and
fluency. Within word limit.
Mark: 16 – 20
The entry explains the student's
point of view/opinion in relation to
to their chosen challenge with
considerable clarity and
consistence. Within word limit.
Mark: 14 – 15
The entry attempts to explain
the student's point of
view/opinion in relation to their
chosen challenge, but this is not
always clear. Within word limit.
Mark 12 – 13
The entry attempts to explain
the student's point of
view/opinion in relation to their
chosen challenge, but this is
not always clear. Within word
limit.
Mark: 10 – 11
The student's point of view in
relation to their chosen
challenge is not present, or it
is unclear to the point that it is
incomprehensible. Response
may be significantly under or
over prescribed word limit.
Mark: 0 – 9
Learning Objectives &
Criteria
Pass Fail
Presentation –
Referencing
10 marks
A minimum of three resources (academic and grey literature) have been
used and referencing style is consistent.
Mark: 5 – 10
Fewer than three resources (academic and grey literature) used and referencing style is
inconsistent.
Mark: 0 – 4
Student name: Monash ID
Case Report: Deforestation in Brazil
Word count: ?
Deforestation in Brazil has risen dramatically over the past decade. Although I was
aware of some of the global impacts of deforestation, reading the article by Rausch
& Gibbs1 has enhanced my knowledge and understanding of this issue in Brazil. The
rapid expansion of soybean agriculture is one of the major factors contributing to
deforestation there. The reason behind this increase in production is a desire to
expedite development, however this has led to the destruction of vast natural areas
for the sole purpose of soybean cultivation.
This mode of development is contributing to the erosion of Brazil's fragile
ecosystems. Soybean production is threatening biodiversity hotspots, such as the
savannas and rainforests, and vulnerable local species are at risk of extinction.
Soybean production is also associated with high rates of soil erosion, compaction
and degradation. In addition to environmental harms, Indigenous populations are
being forced to relocate deeper into the rainforests to preserve their traditional
practices, and subsistence farmers are being pushed off the land to make way for
large-scale producers.2

There are multiple Sustainable Development Goals (SDGs) that relate to this matter,
with the most important being, Goal 15 'Life on Land'. The UN estimates that almost
90 percent of global deforestation is due to agricultural expansion, which reflects the
situation of soybean production in Brazil today. By addressing this SDG several other
goals can be tackled by reducing poverty and inequalities (SDG 1), improving health
and well-being (SDG 3), and providing greater employment opportunities (SDG 10).
1 Rausch, Lisa L., and Holly K. Gibbs. 2016. "Property Arrangements and Soy Governance in the
Brazilian State of Mato Grosso: Implications for Deforestation-Free Production" Land, vol.5, no.2, 1.
https://doi.org/10.3390/land5020007
2 Fearnside, Philip 2017, "Business as Usual: A Resurgence of Deforestation in the Brazilian Amazon"
Yale Environment 360, April 18, Business as Usual: A Resurgence of Deforestation in the
Brazilian
Amazon - Yale
E360;
Milhorance, Flavia 2022, "An Amazon indigenous village's flight from sprawling
soy" Dialogo Chino, May 11, An Amazon indigenous village's flight from sprawling soy
(dialogochino.net).
Doing this requires understanding the various stakeholders involved in the soybean
industry and the factors influencing production.
The intersection between soybean agriculture, deforestation and climate change is
complex. There are many different factors that are driving this issue and multiple
different stakeholders involved.3 The socio-ecological model is a conceptual
framework that shows how soybean cultivation contributes to deforestation, the
impact on different groups of people and the ecosystem.
As the socio-ecological model highlights, there are diverse economic, political and
social stakeholders and factors related to or affected by the soybean industry in
Brazil. Many subsistence farmers have lost their land and livelihoods to ranchers and
illegal land grabbers, or to local drug traffickers who control certain areas and
facilitate deforestation to fund their illegal activities. Without stronger legislation
around land claim titles and opportunities to gain employment in alternative
industries, small-scale farmers and landless migrants are pushed into further poverty
and heightened risk of exploitation.4
3 Fearnside, Philip. M. 2008, "The roles and movements of actors in the deforestation of Brazilian
Amazonia", Ecology and Society, vol.13, no.1, 7-9.
4 Fearnside, "Roles and Movements", 15; Rausch & Gibbs "Property Arrangements", 6.
This conceptual framework also highlights how global food chains fuel the production
of soybeans which increases the price of soybeans and, consequently, their value to
institutions such as the Ministry of Agriculture who is not compelled to tighten the
Brazil Forest Code which strengthens measures to protect Brazil's natural
environment. However, some have noted that tightening the Brazil Forest Code may
force ranchers and landowners to curb their farmland expansion, but may also
negatively impact small-scale farmers and landless migrants by reducing labour and
agricultural opportunities.5
Recognising that factors and stakeholders at each level of the social ecology are
interconnected and have different consequences for diverse groups is therefore
critical to developing a holistic understanding of deforestation in Brazil and crafting
meaningful responses to this challenge.
5 Rausch & Gibbs "Property Arrangements", 3.
Reference list
Fearnside, Philip. M. 2008, "The roles and movements of actors in the deforestation
of Brazilian Amazonia", Ecology and Society, vol.13, no.1, p1- 23.
Fearnside, Philip 2017, "Business as Usual: A Resurgence of Deforestation in the
Brazilian Amazon" Yale Environment 360, April 18, Business as Usual: A
Resurgence of Deforestation in the Brazilian Amazon - Yale E360.
Milhorance, Flavia 2022, "An Amazon indigenous village's flight from sprawling soy"
Dialogo Chino, May 11, An Amazon indigenous village's flight from sprawling
soy
(dialogochino.net).
Rausch, Lisa L., and Holly K. Gibbs. 2016. "Property Arrangements and Soy
Governance in the Brazilian State of Mato Grosso: Implications for
Deforestation-Free Production" Land, vol.5, no.2, p.1-7.
https://doi.org/10.3390/land5020007