ESG May Be Smart, But Not Yet Smart Beta

For the time being, ESG investing is smart – but is it smart beta?

As investing based on a desire to drive progress in environmental, social and corporate governance issues grows, so too does the prospect of using ESG methodologies as a smart beta-style factor that delivers financial returns over time.

As asset managers offer more passive smart beta indexes and ESG-weighted strategies, more of the world’s assets are following them. According to recent FTSE Russell research, both smart beta and ESG strategies are becoming more popular with investors, especially in Europe, where 60 percent of the respondents in a 2017 study said they would be interested in applying ESG overlays to their smart beta strategies.

from FA News–but-not-yet-smart-beta-32979.html


Leave a Reply

Fill in your details below or click an icon to log in: Logo

You are commenting using your account. Log Out / Change )

Twitter picture

You are commenting using your Twitter account. Log Out / Change )

Facebook photo

You are commenting using your Facebook account. Log Out / Change )

Google+ photo

You are commenting using your Google+ account. Log Out / Change )

Connecting to %s