ESG Integration and the Investment Management Process: Fundamental Investing Reinvented

We investigate how conventional asset managers account for environmental, social, and governance (ESG) factors in their investment process. We do so on the basis of an international survey among fund managers. We find that many conventional managers integrate responsible investing in their investmen...

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Bibliographic Details
Authors: van Duuren, Emiel (Author) ; Plantinga, Auke (Author) ; Scholtens, Bert (Author)
Format: Electronic Article
Language:English
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Published: Springer 2016
In: Journal of business ethics
Year: 2016, Volume: 138, Issue: 3, Pages: 525-533
Further subjects:B Survey
B Fundamental investing
B ESG investing
B ASSET management
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Description
Summary:We investigate how conventional asset managers account for environmental, social, and governance (ESG) factors in their investment process. We do so on the basis of an international survey among fund managers. We find that many conventional managers integrate responsible investing in their investment process. Furthermore, we find that ESG information in particular is being used for red flagging and to manage risk. We find that many conventional fund managers have already adopted features of responsible investing in the investment process. Furthermore, we argue and show that ESG investing is highly similar to fundamental investing. We also reveal that there is a substantial difference in the ways in which U.S. and European asset managers view ESG.
ISSN:1573-0697
Contains:Enthalten in: Journal of business ethics
Persistent identifiers:DOI: 10.1007/s10551-015-2610-8