Recent research shows that ESG funds have outperformed their peers during the COVID-19 crisis, but experts predict that with increased investor expectations of issuers on ESG commitments, this is more than just a passing trend.
HSBC Global Asset Management’s Xavier Desmadryl, Global Head of ESG Research recently took part in a webinar organised by Euronext's new ESG advisory team in which he explained why ESG is here to stay and why this is not an opportunistic market trend but a long-term investment vision.
Xavier pointed out that the COVID-19 crisis has emphasised a mainstream market trend led by institutional investors. ESG analysis improves long-term visibility to prevent the risks and highlight investment opportunities. This has been particularly obvious in the context of the COVID-19 pandemic.
Xavier also discussed responsible investment strategies - inclusion versus exclusion - and the importance of engagement activities with companies. The webinar also focused on the future of ESG investment where Xavier highlighted the growing importance of the social factor which has emerged during the period.
To listen to the webinar in full,