Hope you are doing well and staying safe. Welcome back to our brief thoughts on ESG. This week, I want to share a couple of interesting things that popped up in the ESG world this week.
Blackrock on the resilience of sustainable investing
In this report, Blackrock joins ranks with other investors who have been very vocal about how ESG factors have helped outperform the market in recent months. Some interesting quotes that are likely to make you want to read the full thing:
“…we have observed better risk-adjusted performance across sustainable products globally, with 94% of a globally-representative selection of widely-analyzed sustainable indices outperforming their parent benchmarks.”
“…companies with a record of good customer relations or robust corporate culture are demonstrating resilient financial performance.”
“…the underperformance of traditional energy explains only a fraction of the outperformance seen in many sustainable funds.”
“As investors have sought to rebalance their portfolios during market turmoil, they are increasingly preferring sustainable funds over more traditional ones. In the first quarter of 2020, global sustainable open-ended funds mutual funds and ETFs) brought in USD40.5bn in new assets, a 41% increase year-over-year. U.S. sustainable funds attracted a record USD7.3 billion for the quarter.”
“We believe that we are still in the early stages of a persistent and long-lasting shift toward sustainability – the full effects of which are not yet included in market prices, given the long transition.”
Natixis on its latest investor survey
This survey provides a good insight into what investors are thinking regarding ESG integration.
“Almost all respondents to our survey – fully 96% – said they believe institutions have a role in addressing the world’s most pressing challenges.”
“…a large majority (70%) say ESG will become a standard practice across the industry within the next five years.”
“They want to integrate ESG – and they want the tools and insights to do it in ways that maximize the societal and financial impact.”
“Six in 10 (60%) say they would be more willing to invest in projects that help provide solutions to societal challenges if those projects presented a risk/return profile in line with their portfolios’ long-term goals.”
Hope this was of use. As usual, if there is anything we can help you with, please reach out. Also, don’t forget to recommend any ESG subject matter that you would like us to research and put in a forthcoming weekly
Regards,
Marimar
Partner, Miranda ESG
This week’s recommended reading
- Sustainable Finance and ESG: The 2020 playbook
- Social factors gain stature in ESG analysis
- Covid-19 Is Accelerating ESG Investing And Corporate Sustainability Practices
- Citigroup Launches New ESG Investment Banking Group
- How Is ESG Performing In The Covid-19 Crisis?
- ESG fund flows increase 37-fold in three years: research
Contacts in Miranda Partners
Damian Fraser
Miranda Partners
damian.fraser@miranda-partners.com
Marimar Torreblanca
Miranda ESG
marimar.torreblanca@miranda-partners.com
Espero tu y tu familia se encuentren bien y bienvenido de nuevo a nuestro blog sobre ESG. Esta semana, quiero compartir un par de cosas interesantes que salieron en el universo ESG en la semana.
Blackrock hablando de la resiliencia de las inversiones sustentables
En este reporte Blackrock se une a otros inversionistas grandes que han sido muy vocales recientemente sobre cómo los factores ESG han ayudado a ganarle al mercado en meses recientes. Algunas citas interesantes que pueden hacer que quieras leer el reporte completo:
“…we have observed better risk-adjusted performance across sustainable products globally, with 94% of a globally-representative selection of widely-analyzed sustainable indices outperforming their parent benchmarks.”
“…companies with a record of good customer relations or robust corporate culture are demonstrating resilient financial performance.”
“…the underperformance of traditional energy explains only a fraction of the outperformance seen in many sustainable funds.”
“As investors have sought to rebalance their portfolios during market turmoil, they are increasingly preferring sustainable funds over more traditional ones. In the first quarter of 2020, global sustainable open-ended funds mutual funds and ETFs) brought in USD40.5bn in new assets, a 41% increase year-over-year. U.S. sustainable funds attracted a record USD7.3 billion for the quarter.”
“We believe that we are still in the early stages of a persistent and long-lasting shift toward sustainability – the full effects of which are not yet included in market prices, given the long transition.”
Natixis y su encuesta más reciente de inversionistas
Esta encuesta tiene puntos interesantes sobre cómo están viendo los inversionistas la integración de factores ESG en sus procesos de inversión.
“Almost all respondents to our survey – fully 96% – said they believe institutions have a role in addressing the world’s most pressing challenges.”
“…a large majority (70%) say ESG will become a standard practice across the industry within the next five years.”
“They want to integrate ESG – and they want the tools and insights to do it in ways that maximize the societal and financial impact.”
“Six in 10 (60%) say they would be more willing to invest in projects that help provide solutions to societal challenges if those projects presented a risk/return profile in line with their portfolios’ long-term goals.”
Espero esta información haya sido de tu interés. Como siempre, si hay algo en lo que pudiéramos ayudar, o si hay un tema de ESG del cual quisieras saber más, por favor háznoslo saber para considerarlo en versiones futuras.
Saludos,
Marimar
Partner, Miranda ESG
La lectura recomendada de la semana
- Sustainable Finance and ESG: The 2020 playbook
- Social factors gain stature in ESG analysis
- Covid-19 Is Accelerating ESG Investing And Corporate Sustainability Practices
- Citigroup Launches New ESG Investment Banking Group
- How Is ESG Performing In The Covid-19 Crisis?
- ESG fund flows increase 37-fold in three years: research
Contacts in Miranda Partners
Damian Fraser
Miranda Partners
damian.fraser@miranda-partners.com
Marimar Torreblanca
Miranda ESG
marimar.torreblanca@miranda-partners.com
