The global participation of the capital market and financial sector will provide an important boost to the reforming efforts of sustainable finance and circular economy toward the reduction of our environmental footprint and social inequalities, while at the same time strengthening sustainability and competition in the capital market. Nevertheless, international organizations, the European Union, and national financial policies cannot achieve this long-term change based solely on their own strengths. There is a demand for a joint effort of the public and private sector at the global financial and business level for change toward sustainable finance and circular business models. In the framework of this concept, environmental, social, and governance (ESG) risk and circular risk are described and financial reforms are proposed. Furthermore, we suggest the incorporation of the ESG risk of sustainable finance, as well as the circular risk of circular business models in the sustainable capital market that should operate at optimum efficiency.