Is modern ‘ethical investing’ just a luxury for the wealthy, or a robust strategy worthy of consideration by all investors?
Previously known as responsible or ethical investing, ESG investing now seems all the rage, but what does this focus on Environmental, Social and Governance criteria actually mean? ESG practices among investors and institutions vary widely, and what is seen to constitute ESG investing has evolved over time; today’s approaches to ESG investing range from simple exclusion lists to activist strategies.
We think the absence of a unified definition may not matter all that much in the grand scheme of things – and it will not halt progress in ESG investing.
Having said that, it does pose a challenge for investors who need to decide on their own definition and criteria.
What is ESG? Why does to matter? Aela Cozic – ESG Analyst, Fidelity International explains. Click here to see the article: https://goo.gl/sTqCcJ