Market poll: Greening the economy

Author: Karry Lai | Published: 8 Jul 2019

The environmental, social and governance disconnect stems from the investment community’s tendency towards short-termism

What would it take for ESG to go mainstream?

From green bonds to environmental, social and governance (ESG) indices, sustainable investing is the buzzword of the day. Yet while certain institutional investors are taking an increased interest in ESG investments, there is still a way to go before these products go truly mainstream. Here participants in our latest poll, including financial institutions, ratings agencies, law firms and ESG investment organisations, share insights on what it will take to take ESG investing further. Investor education on the risks and opportunities and more regulatory clarity can help, but according to survey respondents, what's really needed is a systemic shift towards long-term investing. At the moment, these products are hindered by the traditional investment community's focus on quarterly performance returns....