Lack of tools and data is a barrier for asset owners
25 June 2018 London
Image: Shutterstock
Lack of tools and data is a barrier for investing, an environmental, according to a social and governance (ESG) survey carried out by the Morgan Stanley Institute for Sustainable Investing Management has revealed.
The survey revealed that some 42 percent feel they had adequate tools to assess.
The survey polled 118 asset owners and it was revealed that the majority are now pursuing sustainable investing to manage risk and drive returns.
Further findings showed that 84 percent of asset owners are pursuing or actively considering pursuing ESG integration in their investment process.
Of those asset owners, 60 percent implemented ESG strategies in the last four years and 37 percent implemented within the last two years.
Meanwhile, 70 percent of asset owners have already implemented ESG strategies; 49 percent of those have implemented ESG across their entire portfolio, and 21 percent have implemented them in a portion of their portfolio.
Additionally, 78 percent said risk management was an important factor driving sustainable investing at their organisations, and 77 percent said return potential was important.
In terms of challenges, proof of market-rate financial performance remains the top challenge.
Rui de Figueiredo, co-head and CIO of the solutions and multi-asset business at Morgan Stanley Investment Management, commented: “As interest in sustainable investing continues to rise, we see investors pursuing a range of approaches with their assets.”
He continued: “The growing sophistication among asset owners about when and how to integrate ESG into the investment process creates opportunities to tailor strategies and provide customised portfolio solutions that help investors meet their financial and impact goals.”
The survey revealed that some 42 percent feel they had adequate tools to assess.
The survey polled 118 asset owners and it was revealed that the majority are now pursuing sustainable investing to manage risk and drive returns.
Further findings showed that 84 percent of asset owners are pursuing or actively considering pursuing ESG integration in their investment process.
Of those asset owners, 60 percent implemented ESG strategies in the last four years and 37 percent implemented within the last two years.
Meanwhile, 70 percent of asset owners have already implemented ESG strategies; 49 percent of those have implemented ESG across their entire portfolio, and 21 percent have implemented them in a portion of their portfolio.
Additionally, 78 percent said risk management was an important factor driving sustainable investing at their organisations, and 77 percent said return potential was important.
In terms of challenges, proof of market-rate financial performance remains the top challenge.
Rui de Figueiredo, co-head and CIO of the solutions and multi-asset business at Morgan Stanley Investment Management, commented: “As interest in sustainable investing continues to rise, we see investors pursuing a range of approaches with their assets.”
He continued: “The growing sophistication among asset owners about when and how to integrate ESG into the investment process creates opportunities to tailor strategies and provide customised portfolio solutions that help investors meet their financial and impact goals.”
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