The world is being influenced by critical environmental and social systems experiencing major shifts and corresponding risks. Individuals, society, and the planet are all impacted by these shifts and are at risk. Concurrently, investor appetite for responsible investing has been climbing. An increasing number of investors believe that companies with strong environmental, social, and governance (ESG) practices outperform over the long term because they are better at adapting to a changing world.
The Cerulli Report— U.S. Environmental, Social, and Governance Investing 2019: Meeting Evolving Investor Expectations defines what constitutes an ESG investing framework and analyzes the various ways that asset managers and asset owners are incorporating ESG into their investment decision-making from both a product and process standpoint.