The past two years have seen a huge increase in demand for sustainable funds, or those explicitly integrating environmental, social and governance (ESG) factors into their processes and portfolios.
Naturally, fund companies cottoned on and there has been a proliferation of strategies available for investors to buy. Greenwashing was an inevitable consequence of this trend, and Morningstar recently announced it had culled 1,200 funds, equating to $1.4trn of assets, from its sustainable fund universe after an investigation into manager disclosures. Anyone who has interviewed a fund manager of late will doubtless have seen an ESG slide or two in their presentation. Most will say they have always considered these factors and so for fund selectors the key questions are: who is genuine a...
To continue reading this article...
Join Investment Week for free
Signup and gain exclusive members-only insights - all free of charge!
- Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
- Get ahead of regulatory and technological changes affecting fund management
- Important and breaking news stories selected by the editors delivered straight to your inbox each day
- Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
- Be the first to hear about our extensive events schedule and awards programmes
