This survey explains how investors view environmental, social, and governance (ESG) issues and data and the role ESG issues play in their investing process.
MYTH #1 Firms offer ESG products primarily for reputational reasons. REALITY The top reason investors consider ESG products is to adequately manage risk, and client demand is growing.
MYTH #2 ESG issues are mostly about environmental issues and climate change in particular. REALITY The top factor considered is board accountability, a governance issue.
MYTH #3 ESG implementation is primarily done through exclusionary screening. REALITY An integrated approach to ESG issues is now the most widely used method.
See the overview of the CFA institute survey here
or read the full article here
or read the latest CFA-blog on this by Bryan Esterly from SASB