Saturday, November 17, 2007

No penalty with ethical investment


The inclusion of environmental, social and corporate governance (ESG) factors within investment thinking is not a new concept - just a contentious one. Pension funds across Europe understand the social good that can be derived from investing in a socially responsible way; it is just the return advantages that confuse them.

According to a report issued by the United Nations and Mercer, however, that no longer has to be the case.

The report, which analysed 20 pieces of academic work on the relationship between returns and the incorporation of ESG factors, found that integrating ESG does not have to hamper performance.

See full Article