Best Execution: "Sustainable investing has gained traction not only because of the ethical component but also the enhanced returns that have been reported over the past year. However, research from independent index provider Scientific Beta, which is part of the EDHEC-Risk Institute, shows that outperformance can be explained through sector biases and exposures to equity style factors as well as greater inflows."
Best Execution 21/06/2021
"(...) Sustainable investing has gained traction not only because of the ethical component but also the enhanced returns that have been reported over the past year. However, research from independent index provider Scientific Beta, which is part of the EDHEC-Risk Institute, shows that outperformance can be explained through sector biases and exposures to equity style factors as well as greater inflows. The paper – Honey I Shrunk the ESG Alpha is co-authored by Dr Felix Goltz, Scientific Beta research director, Dr Giovanni Bruno, senior quantitative analyst at Scientific Beta and a member of the EDHEC Scientific Beta research chair, and Mikheil Esakia, a quantitative research analyst at Scientific Beta. The research looked at the wider claims that showed environmental, social and governance (ESG)-based funds fared better than their peers particularly during the pandemic-driven sell off of March-April 2020. (...)"
Copyright Markets Media Europe Ltd.