Impact Of Esg Integration On Private Equity Fund Performance Insights From Un Pri Signatories

Author : Lucas Eisenhuth
Publisher : GRIN Verlag
Page : 76 pages
File Size : 43,6 Mb
Release : 2024-02-14
Category : Business & Economics
ISBN : 9783963553578

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Impact of ESG Integration on Private Equity Fund Performance. Insights from UN PRI Signatories by Lucas Eisenhuth Pdf

Master's Thesis from the year 2023 in the subject Economics - Finance, grade: 1,0, University of Frankfurt (Main), language: English, abstract: This study investigates the impact of environmental, social, and governance integration on private equity fund performance, as measured by the UN Principles of Responsible Investment signatory status of the general partner. Using a comprehensive dataset of 3,127 private equity funds from the Preqin database and ESG information from the UN Principles of Responsible Investment directory, I find that funds managed by fund managers who signed the UN Principles of Responsible Investment exhibit a negative association with financial performance. Since the 1980s, the private equity (PE) asset class has developed from an alternative investment niche into a major player in the global financial industry. With assets under management (AuM) growth rates that far outstrip most other asset classes, PE plays an increasingly important role. For example, authors from the Harvard Busi-ness Review expect global PE assets to exceed $11tn in 2026 and state that, already today, around 10,000 PE firms are responsible for 20mn employees in approximately 40,000 portfolio companies. Simultaneously, integrating environmental, social, and governance (ESG) criteria into investment decisions has gained considerable momentum in recent years. Driven by growing awareness of climate change, social ine-qualities, and corporate governance issues, investors increasingly recognize the im-portance of incorporating non-financial factors into their investment analysis and portfo-lio selection. Speaking in numbers, at the beginning of 2020, the total value of sustainable investments across major asset classes in developed markets rose to $35.3tn, representing a growth of 15% between 2018 and 2020. This results in 35.9% of total AuM during this period. The social relevance of the climate challenge and the associated increasing investment in the sustainable transformation of the global economy has thus logically found its way into the academic world. For example, annual academic publications on environmental finance have grown more than 17-fold, from 13 in 2010 to 223 in 2019. Nevertheless, less than 1% of academic litera-ture on PE or venture capital (VC) between 1960 and 2020 deals with sustainability issues.

Author : Anonim
Publisher : Unknown
Page : 128 pages
File Size : 51,8 Mb
Release : 2018
Category : Investments
ISBN : OCLC:1112702787

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Guidance and Case Studies for ESG Integration: Equities and Fixed Income by Anonim Pdf

Author : Ontario Round Table on Environment and Economy
Publisher : Unknown
Page : 96 pages
File Size : 45,7 Mb
Release : 1992
Category : Economic development
ISBN : MINN:31951P00203631F

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Restructuring for Sustainability by Ontario Round Table on Environment and Economy Pdf

The Ontario Round Table on Environment and Economy was established with members from government, business, the native community, industry, academia and environmental groups. This paper gives recommendations for greening Ontario's economy, improving decision-making, allowing citizens to take a full and active part in restructuring for sustainability, ensuring accountability, and dealing with global warming.

Author : Arik Ben Dor,Albert Desclee,Lev Dynkin,Jingling Guan,Jay Hyman,Simon Polbennikov
Publisher : John Wiley & Sons
Page : 423 pages
File Size : 49,8 Mb
Release : 2024-05-20
Category : Business & Economics
ISBN : 9781394214785

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Measuring ESG Effects in Systematic Investing by Arik Ben Dor,Albert Desclee,Lev Dynkin,Jingling Guan,Jay Hyman,Simon Polbennikov Pdf

A unique perspective on the implications of incorporating ESG considerations in systematic investing In Integrating ESG in Systematic Investing, a team of authors from Barclays’ top-ranked Quantitative Portfolio Strategy group (ranked #1 by Institutional Investor in its 2022 Global Fixed Income Research Survey in both the US and Europe) delivers an insightful and practical discussion of how to reflect ESG considerations in systematic investing. The authors offer a cross-asset class perspective—incorporating both credit and equity markets in the United States, Europe, and China—a unique coverage scope amongst books on this subject. They discuss the interaction between ESG ratings and various other security characteristics, suggest a methodology for isolating the ESG-specific risk premia, analyse the impact of an ESG tilt on systematic strategies and risk factors, and identify several ESG-based signals that are predictive of future performance. You’ll also discover: Analysis of companies in the process of improving their ESG ranking (“ESG improvers”) vs. firms with best-in-class ESG ratings A study using natural language processing (NLP) to predict changes in corporate ESG rankings from company job postings for sustainability-related positions In-depth explorations of ESG equity fund performance and flows and the information content of ESG ratings dispersion across several providers Perfect for portfolio managers including non-quantitative, fundamental investors, risk managers, and research analysts at financial institutions such as asset managers, pension funds, banks, sovereign wealth funds, hedge funds, and insurance companies, Integrating ESG in Systematic Investing is also a must-read resource for academics with a research interest in the performance and risk implications of ESG investing.

Author : John Hill
Publisher : Academic Press
Page : 371 pages
File Size : 55,6 Mb
Release : 2020-01-30
Category : Business & Economics
ISBN : 9780128186930

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Environmental, Social, and Governance (ESG) Investing by John Hill Pdf

Environmental, Social, and Governance (ESG) Investing: A Balanced Analysis of the Theory and Practice of a Sustainable Portfolio presents a balanced, thorough analysis of ESG factors as they are incorporated into the investment process. An estimated 25% of all new investments are in ESG funds, with a global total of $23 trillion and the U.S. accounting for almost $9 trillion. Many advocate the sustainability goals promoted by ESG, while others prefer to maximize returns and spend their earnings on social causes. The core problem facing those who want to promote sustainability goals is to define sustainability investing and measure its returns. This book examines theories and their practical implications, illuminating issues that other books leave in the shadows. Provides a dispassionate examination of ESG investing Presents the historical arguments for maximizing returns and competing theories to support an ESG approach Reviews case studies of empirical evidence about relative returns of both traditional and ESG investment approaches

Author : Russell Sparkes
Publisher : John Wiley & Sons
Page : 422 pages
File Size : 53,6 Mb
Release : 2003-03-14
Category : Business & Economics
ISBN : 9780470856581

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Socially Responsible Investment by Russell Sparkes Pdf

Over recent years there has been rapid consumer-led growth in investing in socially responsible companies to the extent that it has had an influence on corporate policies. New regulations recognise the public interest by requiring all pension funds to declare their ethical policy. Investors can no longer just consider the financial aspects of a company before investing but also have to consider the complex world of ethical investments. Should the ethical policy take precedence over the financial aspects? Should policies be inclusive or exclusive? What percentage of a company's income has to come from unacceptable sources before the source is excluded? Should any exclusion policy also extend to those involved in selling or transporting goods deemed unacceptable? This is the first book to look at socially responsible investment from the perspective of the institutional investor, who will be led through the complex dilemmas of socially responsible investment with practical examples and advice.

Author : Jeffrey Sachs
Publisher : Penguin
Page : 420 pages
File Size : 40,9 Mb
Release : 2008
Category : Economic policy
ISBN : 1594201277

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Common Wealth by Jeffrey Sachs Pdf

Assessment of the environmental degradation, rapid population growth, and extreme poverty that threaten global peace and prosperity, with practical solutions based on a new economic paradigm for our crowded planet.

Author : Guillaume Coqueret
Publisher : CRC Press
Page : 135 pages
File Size : 46,5 Mb
Release : 2022-03-08
Category : Business & Economics
ISBN : 9781000536539

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Perspectives in Sustainable Equity Investing by Guillaume Coqueret Pdf

Sustainable investing has recently gained traction throughout the world. This trend has multiple sources, which span from genuine ethical concerns to hopes of performance boosting, and also encompass risk mitigation. The resulting appetite for green assets is impacting the decisions of many investors. Perspectives in Sustainable Equity Investing is an up-to-date review of the academic literature on sustainable equity investing. It covers more than 800 academic sources grouped into six thematic chapters. Designed for corporate sustainability and financial management professionals, this is an ideal reference for ESG-driven financiers (both retail and institutional). Students majoring in finance or economics with some background or interest in ESG concerns would also find this compact overview useful. Key Features: Introduces the reader to terms and nomenclature used in the field. Surveys the link between sustainability and performance (including risk). Details the integration of sustainable criteria in complex portfolio optimization. Reviews the financial liabilities induced by climate change.

Author : Sustainability Accounting Standards Board
Publisher : Createspace Independent Publishing Platform
Page : 0 pages
File Size : 51,9 Mb
Release : 2017-01-19
Category : Accounting
ISBN : 1542365082

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Climate Risk - Technical Bulletin by Sustainability Accounting Standards Board Pdf

SASB's Technical Bulletin on Climate Risk is designed to help investors better understand, measure and manage their exposure to climate-related risk. The research finds that climate change affects 72 out of 79 industries (93 percent of the capital markets, or $27.5 trillion) but manifests differently from one industry to the next. Due to the ubiquity of climate risk, investors can't simply diversify away from it; instead they must focus on managing it-and on encouraging portfolio companies to manage it-in all its forms. The foreword to the guide, authored by former Secretaries of the Treasury Robert Rubin and Hank Paulson, emphasizes the need for better disclosure. "If investors are to effectively evaluate climate risk, they need a far better understanding of granular, industry-specific climate impacts, with industry-specific standards by which to evaluate corporate performance on these issues. By adopting a set of industry-based market standards for disclosure, especially in SEC filings, investors will be able to accurately compare and contrast companies," they write. "This latest SASB bulletin is a good next step toward this goal, and offers for the first time a comprehensive guide to understand and measure the unique climate impacts across all industries of the economy."

Author : OECD
Publisher : OECD Publishing
Page : 226 pages
File Size : 45,7 Mb
Release : 2020-09-29
Category : Electronic
ISBN : 9789264544536

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OECD Business and Finance Outlook 2020 Sustainable and Resilient Finance by OECD Pdf

The OECD Business and Finance Outlook is an annual publication that presents unique data and analysis on the trends, both positive and negative, that are shaping tomorrow’s world of business, finance and investment.

Author : Jody Grewal,George Serafeim
Publisher : Unknown
Page : 66 pages
File Size : 46,9 Mb
Release : 2020-09-02
Category : Electronic
ISBN : 1680837184

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Research on Corporate Sustainability by Jody Grewal,George Serafeim Pdf

This monograph provides an overview of key papers in the corporate sustainability literature and directions for future research. It is structured on three key themes: measuring, managing and communicating corporate sustainability performance.

Author : United States. Securities and Exchange Commission
Publisher : Unknown
Page : 58 pages
File Size : 50,9 Mb
Release : 1956
Category : Old age pensions
ISBN : MINN:30000011035924

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Survey of Corporate Pension Funds by United States. Securities and Exchange Commission Pdf

Author : Cary Krosinsky
Publisher : Earthscan
Page : 273 pages
File Size : 45,8 Mb
Release : 2012
Category : Business & Economics
ISBN : 9781849773959

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Sustainable Investing by Cary Krosinsky Pdf

Sustainable Investing is fast becoming the smart way of generating long-term returns. With conventional investors now scrambling to factor in issues such as climate change, this book captures a turning point in the evolution of global finance. Bringing together leading practitioners of Sustainable Investing from across the globe, this book charts how this agenda has evolved, what impact it has today, and what prospects are emerging for the years ahead. Sustainable Investing has already been outperforming the mainstream, and concerned investors need to know how best to position themselves for potentially radical market change.

Author : Patrick Bolton,Frederic Samama,Joseph E. Stiglitz
Publisher : Columbia University Press
Page : 254 pages
File Size : 41,7 Mb
Release : 2012
Category : Business & Economics
ISBN : 9780231158633

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Sovereign Wealth Funds and Long-term Investing by Patrick Bolton,Frederic Samama,Joseph E. Stiglitz Pdf

Sovereign wealth funds (SWFs) are state-owned investment funds with combined asset holdings that are fast approaching four trillion dollars. Recently emerging as a major force in global financial markets, SWFs have other distinctive features besides their state-owned status: they are mainly located in developing countries and are intimately tied to energy and commodities exports, and they carry virtually no liabilities and have little redemption risk, which allows them to take a longer-term investment outlook than most other institutional investors. Edited by a Nobel laureate, a respected academic at the Columbia Business School, and a longtime international banker and asset manager, this volume examines the specificities of SWFs in greater detail and discusses the implications of their growing presence for the world economy. Based on essays delivered in 2011 at a major conference on SWFs held at Columbia University, this volume discusses the objectives and performance of SWFs, as well as their benchmarks and governance. What are the opportunities for SWFs as long-term investments? How do they fulfill their socially responsible mission? And what role can SWFs play in fostering sustainable development and greater global financial stability? These are some of the crucial questions addressed in this one-of-a-kind volume.

Author : Herman Bril,Georg Kell,Andreas Rasche
Publisher : Routledge
Page : 322 pages
File Size : 48,9 Mb
Release : 2020-09-24
Category : Business & Economics
ISBN : 9781000097993

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Sustainable Investing by Herman Bril,Georg Kell,Andreas Rasche Pdf

This book tells the story of how the convergence between corporate sustainability and sustainable investing is now becoming a major force driving systemic market changes. The idea and practice of corporate sustainability is no longer a niche movement. Investors are increasingly paying attention to sustainability factors in their analysis and decision-making, thus reinforcing market transformation. In this book, high-level practitioners and academic thought leaders, including contributions from John Ruggie, Fiona Reynolds, Johan Rockström, and Paul Polman, explain the forces behind these developments. The contributors highlight (a) that systemic market change is influenced by various contextual factors that impact how sustainable investing is perceived and practiced; (b) that the integration of ESG factors in investment decisions is impacting markets on a large scale and hence changes practices of major market players (e.g. pension funds); and (c) that technology and the increasing datafication of sustainability act as further accelerators of such change. The book goes beyond standard economic theory approaches to sustainable investing and emphasizes that capitalism founded on more real-world (complex) economics and cooperation can strengthen ESG integration. Aimed at both investment professionals and academics, this book gives the reader access to more practitioner-relevant information and it also discusses implementation issues. The reader will gain insights into how "mainstream" financial actors relate to sustainable investing.