OPINION: Sustainable investment performance criticisms ‘out-of-date’

Wednesday, February 26, 2014

In an article for Fund Web Parker writes that one of the criticisms of sustainable investment is that the investment approach of the sustainable world has often appeared simplistic. He added that many think the concept of negative screening, in which certain sectors or companies are excluded, lacks the sophistication of the investment mainstream.

However he refuted this claim saying, “A variety of sustainable approaches exist, including positive screening and thematic investing. Both of these investment processes persist in the mainstream channel.”

Parker also noted negative screening was becoming increasingly popular, demonstrated by thecampaigns and demands for fossil fuel divestment. The calls for divestment have led to some pension funds and universities committing to review their investment policies.

Source: Blue&Green Tomorrow (link opens in a new window)

Categories
Environment, Impact Assessment
Tags
impact investing, poverty alleviation