The necessary but complex question of ESG ratings
Abraham Lioui, co-director of the Scientific Beta “Advanced factor and ESG investing” Research Chair launched in September 2019, describes the rise of ESG criteria…
Financial decisions are increasingly influenced by risks associated with climate change all over the word. The transition towards a low-carbon economy requires a broad array of financial instruments and innovations. Climate and ESG (Environmental, Social and Governance) considerations are likely to become at the heart of investment strategies. In the video below, Abraham Lioui, co-director of the Scientific Beta “Advanced factor and ESG investing” Research Chair launched in September 2019, describes the rise of ESG criteria and identifies some issues related to ESG assessment:
► Interpretation of ESG criteria varies
► How to correlate ESG performance and company’s performance?
► How to determine company’s motives?
References
Abraham Lioui, ESG Factor Investing: : Myth or Reality?, October 24, 2018
Abraham Lioui, Is ESG Risk Priced, November 15, 2018