“The growth opportunity of the century” report describes ESG as representing a “paradigm shift”, the largest fundamental change in the investment landscape since the introduction of exchange traded funds.
Depending on sector, fund managers’ “best ideas” constitute the top five holdings of a selection of top performing funds, or the three most overweight positions. The data is based on the funds’ most recent portfolio disclosures to Morningstar.
Asset managers and investors alike continue to allocate more resources to the area, with responsible investment funds' assets under management having doubled since Q1 2019 to reach £36bn by August 2020, according to Investment Association data.
The destruction of sacred sites in Australia by Rio Tinto has forced the resignations of key executives and highlights the dilemmas faced by ESG investors.
The conventional wisdom has it that governance is the most dominant of the three environmental, social impact and governance pillars but each of these produce different results, over different spans of time, according to analysis from MSCI.
