Excerpts from Bloomberg Green article, April 9th, 2020:
“Fund managers that were touting the benefits of ESG investing before the coronavirus outbreak say the pandemic has only strengthened their convictions and the performance of sustainable portfolios should vindicate their strategy.
……DWS and Insight Investment, which respectively oversee $834 billion and $820 billion of assets, are among the firms that say they’re not slowing their efforts to put environmental, social and governance issues at the core of their businesses even as the coronavirus outbreak causes untold economic damage. Allianz Global Investors, with $612 billion of assets under management, is doing a deep analysis to measure if ESG investments truly outperform.
…… DWS isn’t scaling back its ambitions either, said Susana Penarrubia, the firm’s Frankfurt-based head of ESG integration. DWS is working to increase the degree to which ESG is embedded into each step of it investment process, she said. “We are not shutting anything down in ESG,” said Penarrubia. “Everything you do on ESG integration is a years’ long thing. It doesn’t depend on the markets.”
….. Allianz Global Investors is currently engaged in a comprehensive analysis of whether ESG-focused portfolios outperformed traditional strategies during the recent market slump.
The past few weeks of “unprecedented market stress” provide the optimum opportunity to test the firm’s conviction that “actively managing extreme ESG investment risks contributes to deliver more robust portfolios,” said a company spokesman. “We would expect that ESG-risk managed portfolios translate into better risk-adjusted performance,” he said, adding the analysis is ongoing and will cover more than just 2020 data.”
Read the entire article here.
Sources: All texts, content, quotes and graphics by Bloomberg Green. All credits and rights to Bloomberg Green.