Scientific Beta

Medium: "Felix Goltz, Scientific Beta Research Director, says ‘ESG ratings have little to no relation to carbon intensity, even when considering only the environmental pillar of these ratings’, with any gains of green portfolios being ‘cancelled out by adding ESG objectives’, having looked at 25 different ESG scores by Moody, MSCI and Refinitiv."

Medium Sustainable Business Review 03/01/2024

"(...) Felix Goltz, Scientific Beta Research Director, says ‘ESG ratings have little to no relation to carbon intensity, even when considering only the environmental pillar of these ratings’, with any gains of green portfolios being ‘cancelled out by adding ESG objectives’, having looked at 25 different ESG scores by Moody, MSCI and Refinitiv. (IWF, 2023). This would suggest that there needs to be some serious fine-tuning to this process as it could be seen to paint a false picture of its benefits to the environment, with the score instead being an enormous aggregate. (...)"