Supporting a positive social or environmental impact as well as achieving compelling financial returns is at the heart of sustainable and impact investing (SII). On this website we want to share with you our vision and insights, including what we see as the major trends and developments in SII and the risks and opportunities for investors. We will provide regular updates and features written by some of our leading analysts and experts.
Unlocking value with corporate governance
Stephen Freedman, 29 August 2017
Today ESG is the buzzword most commonly cited when asked to characterize modern sustainable investing. Corporate governance, the G in ESG, is a natural way to start thinking about corporate sustainability. In this blog, SF highlights why governance considerations such as board composition and independence or management incentives are so important.
Why sustainability shouldn't reduce returns
Nick Baltas, 19 June 2017
There are several misconceptions around the value-add of ESG criteria in investment decisions. With their recent paper at the Journal of Applied Corporate Finance, "ESG Integration in Investment Management: Myths and Realities", Sakis Kotsantonis, Chris Pinney and George Serafeim highlight six myths about ESG investing and subsequently refute them. For the purposes of this article, we review the first, and in our assessment the most important, of these six myths.
Exploring the Next Frontier in Banking: Sustainability Regulation
Christian Leitz, 7 June 2017
How times change! Ten years ago, when someone asked me, "so where does government fit into all this stakeholder management work on corporate responsibility you do?" I was hard pressed to give much of an answer. And today? I am equally hard pressed to condense the topic of governments, regulators and sustainability in finance into a short text such as this.
Gender-lens investing: What's next?
Rina Kupferschmid-Rojas, 23 May 2017
Gender-lens investors - those who treat female empowerment as a key criterion when committing capital - have attracted growing interest in recent years. In particular, listed companies with a greater number of women on their boards have on average delivered bigger returns to shareholders. However, mainstreaming gender-lens investing may present a quandary.
Three ways to invest towards the UN's SDGs
28 February 2017
While there is significant interest in the SDGs from investors, there is little understanding of exactly how to invest in these themes in ways that can generate real impact. While investment in listed companies that contribute to the SDGs is relatively straightforward, investment in private markets is more challenging.
Why impact investing needs Silicon Valley
Andrew Lee, 9 February 2017
Last week I was in Silicon Valley at a private gathering of members of UBS's Industry Leader Network - executives and entrepreneurs at privately held companies worldwide. Our discussions focused on artificial intelligence and machine learning and their potential implications for business operations and investment.
Why sustainable investing is a game-changer for all investors
Michael Baldinger, 30 January 2017
No sensible decision can be made any longer without taking into account not only the world as it is, but the world as it will be.
- Isaac Asimov