Tag Archives: sustainability

Carbon Emissions History of the S&P 500® and its Sectors

Every year, Trucost and GreenBiz Group release their annual State of Green Business report, which gives an overview on the state of the sustainability movement and reviews 30 key indicators assessing corporate sustainability performance. As noted by Richard Mattison, CEO of Trucost, in a blog from earlier this month, the carbon emissions of the largest Read more […]

Is the Needle Moving on Sustainable Business?

2018 is set to be a major year for sustainable business. The new year is a time to take stock of where we are going—and we are grateful for the opportunity to dig deep into our data to answer the question: “Is the needle moving on sustainable business?” Each year in the State of Green Read more […]

A Look Inside the S&P Green Bond Select Index

In a previous post, “Rising Above the Noise in ESG: Green Bonds,” we argued that green bonds provide a simple way to add an element of environmental investing into core fixed income holdings. In this blog, we take a closer look at the composition of the S&P Green Bond Select Index and show that it Read more […]

From Crude to Refined: Evolution of Fossil Fuel Free Investing and the 2 Degree Alignment Pathway (Part II)

The discussions on the merits of carbon awareness investing are evolving and highlighting a desire to shift from the current data-driven carbon emission framework to a more sophisticated and risk analysis-driven, 2 degree pathway paradigm. The shift has been spurred largely by the Financial Stability Board (FSB) and recommendations from its Task Force on Climate-related Read more […]

The Sustainability Smile: An Adviser’s Guide to Defining Sustainable Investing Strategies

Why Sustainability? With seventy-five percent of investors reporting an interest in sustainable investing,[1] expertise in sustainable strategies can differentiate and add value to an adviser’s practice by allowing the adviser to better serve clients who wish to see their investments reflect their values or faith. “Sustainable” investing covers a broad spectrum of investment opportunities – Read more […]

From Crude to Refined: Evolution of Fossil Fuel Free Investing and the 2 Degree Pathway (Part I)

The discussions on the merits of carbon awareness investing are evolving and are highlighting a shift from the current data-driven carbon emission framework to a desire to move to a more sophisticated and analysis-driven carbon risk paradigm. Prior discussions would typically cover the scientific arguments regarding climate change and whether existing scientific evidence supported investor Read more […]

Rising Above the Noise in ESG: Green Bonds

The emergence of ethical and sustainable concerns and the need for environmental investing has come with a wide range of options for fixed income market participants to navigate. One approach has been to rely on evaluation metrics, or ratings that measure the environmental and social impact of companies’ operations. The main challenge of this approach Read more […]

Carbon Exposure of the S&P 500® Low Volatility Index

Understanding the carbon exposure of smart beta strategies is important for market participants who are already implementing factor strategies and wish to incorporate carbon risk into the investment process. In a previous blog, our analysis showed that factors such as low volatility and value may be predisposed to higher carbon emissions because of their sector Read more […]

Carbon Pricing: The Business Case for Low-Carbon Innovation

The belief that economic growth is possible without lowering carbon emissions is becoming harder to sell by the minute. A study by the London School of Economics showed that if business-as-usual emissions continue over this century, the value of risk to global financial assets in today’s terms is 1.8%, or USD 2.5 trillion. Likewise, analysis Read more […]

Carbon Footprint Reporting in Mexico

At the most recent National AFORES convention, held jointly with FIAP International in Mexico City at the end of October 2017, Latin American institutional investors continued to show increasing interest in ESG-related topics and this was evident in the conference agenda.  In particular, the participants spoke about the following topics. Impact reporting: The ability to Read more […]