The interest in sustainable investments has increased significantly in recent years. In connection with sustainable investments, the buzzword ESG (Environment, Social and Governance) is usually used. In the article “ESG as a financial method and solving real problems”, The Market explores the question of what ESG does and how it affects financial performance. The Market interviewed four experts: Prof. Dr. Timo Busch (University of Hamburg), Reto Ringger (Globalance Bank), Tillmann Lang (Yova) and Sabine Döbeli (Swiss Sustainable Finance).
On the subject of financial performance, Prof. Dr. Timo Busch: “In a meta-analysis of 2000 ESG studies, we found that 90% of the studies come to the conclusion that sustainable investments are not associated with financial disadvantages, around 50% of them even see a positive financial effect. Adjusted for risk, the financial one should be Performance can even be significantly better.
As a challenge for banks and asset managers, Prof. Dr. Timo Busch is currently developing products that solve real problems and whose environmental impact is just as measurable as their financial performance. He says: “This is where the industry has great potential for development, and it will be the future of asset management.”
You can find the link to the full article here .