We believe the term ESG strategy is a mischaracterization. The underlying investment process drives the return of the chosen investment strategy, while the ESG preferences reflected in the securities selected for the portfolio do not. We make this distinction not to disparage ESG investing, because we actually view this trait as a benefit and value the ability to align our portfolios’ composition with our beliefs without a meaningful impact on performance.
Inflation is the current headline concern of consumers and investors alike. Chris Brightman, Research Affiliates’ CEO and CIO, offers his view on the risks associated with rapidly rising inflation and how investors can best position themselves to ride out those risks.
Absent mandatory reporting, data providers estimate half of corporate emissions data. Thus, such data fare poorly in identifying the worst emitters and provide little information to identify green companies in brown sectors. Published on SSRN.
Research Affiliates is a global leader in smart beta and asset allocation strategies. Our goal is to provide educational insights that lead to better investor outcomes.