Page 21 - Taking Stock 22 Summer 2019

Summer 2019 BY ESG INVESTMENT RESEARCH TEAM Taking Stock The ongoing growth in environmental, social and governance (ESG) investing has been driven by investors who may share certain common characteristics, but who have different concerns and commitment levels towards ethical investing. This growth has unsurprisingly been accompanied by a proliferation of ESG product offerings from an increasing number of fund managers. However, individual fund managers may take signi cantly different approaches in balancing the need for market performance alongside delivering positive and sustainable social and environmental outcomes. Investors should recognise that not all ESG managers are created equal. The question is how well aligned is the ESG manager with an ESG investor’s personal values and beliefs? Investors who genuinely wish their savings to be invested within a values-driven framework should identify a manager whose values align with their own, rather than one who merely acknowledges ESG risk management as a hygiene factor. !BACK TO FEATURES 21 2 1