Taking the Pulse of ESG

Re-examining the Spectrum of ESG Analysis
 

The ESG body of knowledge is constantly expanding and the coronavirus pandemic has provided a unique opportunity to look at ESG issues in a new light. In some ways, social inequalities have been focused upon more than ever before, and in other ways, more momentum now appears to exist behind certain climate-related priorities. 

Beginning with a survey of how pension funds are addressing environmental goals via passive investment vehicles, this list of papers also covers hot topics within the ESG field such as climate-aligned indices, gender equality, plastic waste, SDG screening and biases within ESG ratings. 

Addressing Climate Change in Passive Portfolios (CREATE-Research/DWS, 2020)

This DWS/CREATE-Research survey looks at how pension funds with passive fund investments are addressing climate-related issues in the time of COVID-19.

An Introduction to the Stoxx Paris-Aligned Benchmark Indices (Qontigo, 2020)

The European Commission's Technical Expert Group on sustainable finance developed a methodology for creating a Paris (Agreement)-Aligned Benchmark (PAB). This report introduces a series of such EU PAB benchmark indices.

SDG Screening in Corporate Credit: A practical perspective (Robeco, 2020)

Robeco introduces a framework for evaluating and screening credit investments based upon the UN's Sustainable Development Goals.

Impact Investing: Dual-purpose investing (Candriam, Aug 2020)

For compliance reasons, this paper is only accessible in certain geographies

Candriam examines the ethos of impact investing, its dual purpose, its scope and its prevalence across asset classes.

Tackling Inequality Through ESG and Active Ownership (Invesco, 2020)

For compliance reasons, this paper is only accessible in certain geographies

COVID-19 has brought the social aspect of ESG investing to the foreground by highlighting economic and social inequalities in a variety of ways. At the same time, it presents an opportunity to promote potential solutions to these issues.

The Evolution of ESG (Aviva Investors blog, 2020)

For compliance reasons, this paper is only accessible in certain geographies

This Aviva Investors article traces the evolution of ESG investing from equities to other asset classes, also looking at the ways in which it serves to mitigate risk and highlight available opportunities.

Podcast: Plastics and the circular economy (Federated Hermes, 2020)

Building upon a recently released Federated Hermes white paper, this podcast discussion centres around plastic waste and efforts to engage with companies on recycling, reducing plastic usage and other related topics.

Swipe to Invest: The story behind Millenials and ESG investing (MSCI, 2020)

Millennials are 'all in' on ESG investing. MSCI examines the reasons why millennials are gravitating towards companies with good ESG track records and the implications this trend may have for the investment industry.

Factor Control: Isolating specific biases in ESG ratings (FTSE Russell, 2020)

Have historical ESG scores been influenced by specific biases too? FTSE Russell investigates the extent to which size, country and activity biases are present within (and can be isolated from) ESG scores.

Investing in an ESG World - A practitioner's guide (UBS AM, Jul 2020)

UBS Asset Management looks at the amount of capital flowing into ESG funds, the data that impacts ESG analysis and the specifics of the UN SDGs.

Powering up Sustainable Energy (McKinsey & Company, Jun 2020)

In this report, McKinsey & Company provides updates on the economics of renewable energy, the decarbonisation of the power industry and the transition to electric vehicles (EVs).

Integrating ESG values into the core (S&P Dow Jones indices, 2020)

The authors discuss the construction of the S&P 500 ESG Index, and its utility value as a benchmark and as a basis for index-linked ESG products.

Leveraged Loan Investment and ESG during Covid-19 (M&G Investments, Jul 2020)

For compliance reasons, this paper is only accessible in certain geographies

M&G Investments discusses the shift towards the 'S' in ESG during the pandemic, as well as the ways in which lenders may view companies' responses to the crisis, and other themes relevant to the leveraged loan market.

Gender Lens Equity Funds: The first major test (Enterprising Investor, 2020)

Gender lens equity investing could play an important role in bringing about a gender-balanced economic recovery.

COVID-19 and Gender Equality (McKinsey & Company, Jul 2020)

Because women's jobs are almost twice as vulnerable to the present crisis as men's jobs, the COVID-19 epidemic is having a drastic effect upon gender equality.

Sustainable Investing: Time for action on climate change (UBS AM, Jul 2020)

UBS Asset Management presents a collection of insights related to COVID-19, climate change and the policies that combat them.