Scientific Beta

Financial Newswire: "Scientific Beta, a smart ESG investment platform provider based in Singapore, has released two publications to warn investors about the lack of correlation between environmental, social and governance (ESG) scores and real contribution to social and environmental issues. Scientific Beta cited the recent ‘Orpea Affair’ in France as a key example of this phenomenon, after the Orpea Care Home Group which ranked at the top of its sector in terms of ESG scores from several rating agencies has now been accused of elderly abuse in its nursing homes."

Financial Newswire 09/02/2022

"(...) Scientific Beta, a smart ESG investment platform provider based in Singapore, has released two publications to warn investors about the lack of correlation between environmental, social and governance (ESG) scores and real contribution to social and environmental issues. Scientific Beta cited the recent ‘Orpea Affair’ in France as a key example of this phenomenon, after the Orpea Care Home Group which ranked at the top of its sector in terms of ESG scores from several rating agencies has now been accused of elderly abuse in its nursing homes. (...) The first publication, Scoring Against ESG? Avoiding the Pitfalls of ESG Scores in Portfolio Construction, highlighted the lack of agreeance between ESG scores from different providers. (...) The other publication from Scientific Beta, Scoring against ESG? What are Market Participants’ Views on ESG Scores?, documented the uncertainty in the market regarding the validity of ESG scores and the investment strategies that use them to target higher portfolio scores. (...)"

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