There are limits to how much of an ESG tilt you can introduce to your portfolio before it becomes more risky than a market index. But what is too much? Harin de Silva of Analytic Investors has found a way to measure this.
Simple is not always better, as simple investment strategies can also have unexpected consequences. But when embracing complexity, make sure you get all stakeholders on board.
There have been multiple attempts to quantify the contribution of ESG engagement to investment returns, but not all benefits are visible in the bottom line. A PRI-sponsored study, asks corporations what non-financial benefits they see from engagement.
In March, APRA released its long-awaited update on climate risks. We ask insurers how far they are in implementing risk modeling and what risks concern them the most.
If boards receive too much data, it all becomes just noise, VicSuper CIO Andrew Howard says.
Investment governance tries to codify how to put safeguards around managing other people’s money, Michael Drew and Adam Walk say.
How deep do you look into a company to determine it is a sustainable business? Looking at the primary product is a good start, Hamish Chamberlayne of Janus Henderson says.
As part of his growing interest in climate change, GMO’s Jeremy Grantham researched what effect divesting the entire energy sector would have on a portfolio.
Institutional investors recognise climate change as one of the key long term risks, but many struggle to find a practical way to assess the impact on their investment portfolios. Looking at physical risk is one way to tackle the problem, DWS says.