Wealth Managers remain sceptical on ESG ETFs despite rising popularity

03.03.2021
Press
1 min read time

ESG ETFs have registered record inflows in recent months, but can they do enough to enact real change?

Assets in sustainable exchange-traded funds (ETFs) rocketed to record highs last year as coronavirus boosted investor interest in ESG strategies.

Cash held globally in ESG ETFs nearly tripled over the 12 months to the end of January to $196bn (£141bn), according to TrackInsight, with monthly inflows hitting a record $15.7bn early this year.

Our Chief Impact Officer Amy Clarke spoke to Wealth Manager about some key characteristics associated with some ESG ETFS that need to be considered if ETFs are to be deemed additive to the impact investing industry in the future.

ESG and impact data is improving but it still suffers quality issues, as well as issues pertaining to coverage. The data is not yet at a point where we can rely exclusively on it to make informed and accurate decisions as to the current and future strategy of a business

Amy Clark, Chief impact Officer

Full article here.

Related posts

Disclaimer

Important Information: Tribe Impact Capital LLP is authorised and regulated by the Financial Conduct Authority (“FCA”). Our FCA registration details are set out in the FCA Register under Firm Reference number 756411 (www.fca.org.uk). Tribe Impact Capital LLP is registered in England and Wales (registered number OC411984) and our registered office is 52 Jermyn Street, London SW1Y 6LX. This document does not provide you with enough information to make an informed investment decision. Neither does it constitute advice or a personal recommendation or take into account the particular investment objectives, financial situations or needs of individual clients. If you are not an existing client of Tribe Impact Capital LLP, this document is considered to be marketing material. Whilst this document may contain information about specific companies it is not an investment research report as defined by the FCA. This document is not intended and should not be construed as an offer, solicitation or recommendation to buy or sell any investments. You are recommended to seek advice concerning suitability of any intended investment decision from your investment adviser. Past performance is not a reliable indicator of future performance; and the value of investments, as well as the income from them can go down as well as up. Investors may get back less than the original amount invested. Any type of impact investment will involve risk to investors capital and the expected environmental or social return may not be achieved. The information and opinions expressed herein are based on current public information we believe to be reliable; but we do not represent that they are accurate or complete, and they should not be relied upon as such. Any information herein is given in good faith but is subject to change without notice. No liability is accepted whatsoever by Tribe Impact Capital LLP or its employees and associated companies for any direct or consequential loss arising from this document. This document is not for distribution outside the European Economic Area.

The value of any investments and the income from them can go up or down so you may get back less than your initial investment.