ESG Investing and the Long-Short Strategy

ESG investing has been growing exponentially. According to Bloomberg, ESG assets are likely to rise to $53trillion by 2025, comprising a third of the global AUM. Most investment strategies are either exclusionary (do not buy “bad” stocks) or buy-and-hold. However, a relatively new strategy to ESG investing is the long-short strategy. This strategy involves buyingContinue reading “ESG Investing and the Long-Short Strategy”

Recycling Underwear

There is luxe fashion, then fast fashion, and underwear that no one talks about. In my childhood, underwear came only in whites. Now they come in all colours and fancy, funky designs. The underwear has evolved but what has not evolved is its disposal. Usually, it is put in a bag and surreptitiously dumped inContinue reading “Recycling Underwear”

ESG Investing and Disclosure Flow

The EU’s sustainable finance plans have four key elements. First is the taxonomy that defines which activities are sustainable. Then there is the Corporate Sustainability Reporting Directive (CSRD) requires companies to report on their sustainability activities. Asset managers then use this information to report on the sustainability of their products. As per the Sustainable FinanceContinue reading “ESG Investing and Disclosure Flow”

The Seven Myths of ESG

A recent paper by researchers at the Rock Center for Corporate Governance at Stanford debunk several myths around ESG. Given that companies use ESG in decision-making, and regulators are increasing their focus on ESG, the paper is timely. I summarise the seven myths: We Agree on the Purpose of ESG: Despite the near-universal push forContinue reading “The Seven Myths of ESG”