Johan Florén, head of communications and ESG at Swedish pension fund AP7, discusses collaboration between asset owners to address systemic challenges, setting and achieving realistic ESG policy goals and contributing to sustainability in real terms.
Although ESG investing has become more mainstream in the West, Covid-19 has turbocharged the trend as sustainable funds have proven their performance mettle this year, writes Lynn Strongin Dodds.
Private funds and ESG have long been considered by some as incongruous, if not outright incompatible. However, under growing pressure from institutional investors and regulators, and as evidence for the link between financial performance and ESG factors grows, private markets are taking notice.
Traditional alpha opportunities tend to be found in underappreciated areas of the market where an expected improvement in fundamentals will lead to a re-rating of the stock.
Yo Takatsuki, head of ESG research and active ownership at AXA Investment Managers, explains the most effective ways to achieve tangible outcomes.
