ESG investors mean well. It is an opportunity for them to invest in their values and put their money where their heart is. Unfortunately, without the right data, their money may be going to companies that only APPEAR to be socially and environmentally conscious. This is why transparency in ESG investing has never been more important. ESG investors are not one-size-fits-all. Some are single-issue investors, while others have a long list of environmental and social needs on their checklist. Thus, it’s not only important to find the common values investors and companies share, but to also be aware of any differences they may find objectionable. For example, a company that ticks the right green boxes may have a history of questionable social practices. Investors deserve to know as much as they can about the companies, they choose to do business with this includes how firms transition into greener pastures. Data is the solution, but it needs to be accessible in an organized and intuitive way such as impact scores and/or rankings that highlight both the good and the potentially bad.
Join Eddy Soffer, ESG manager at Interactive Brokers, for an insightful discussion on:
* ESG disinformation
* The need for ESG transparency
* How technology is now providing clear, essential data to investors to ensure they are making the biggest impact with their investments.