ESG metrics on AoVs: 'Positive and brave' or 'green-value kumbaya'?

Investors' opinions are divided

Lauren Mason
clock • 5 min read
Holly Mackay of Boring Money

Holly Mackay of Boring Money

Schroders’ recent announcement that it will include sustainability metrics in its next Assessment of Value (AoV) report is a “very positive” and “brave” decision that will allow for candid assessment of the firm’s integrity, according to some industry commentators, who believe the move will pave the way for other firms to follow suit.

Other investors, however, think the broader adoption of this practice may contribute to greenwashing rather than reduce it, warning that AoVs could become unappealing marketing tools "full of industry speak". Last Monday (13 September), UK asset management giant Schroders told Investment Week it will include sustainability data on each fund using its proprietary tools in its next AoV. Sustainable Festival: Schroders' ESG head warns against third party sustainability ratings The announcement came two months after a damning report from the Financial Conduct Authority (FCA), in which ...

To continue reading this article...

Join Investment Week

  • Unlimited access to real-time news, analysis and opinion from the investment industry, including the Sustainable Hub covering fund news from the ESG space
  • Get ahead of regulatory and technological changes affecting fund management
  • Important and breaking news stories selected by the editors delivered straight to your inbox each day
  • Weekly members-only newsletter with exclusive opinion pieces from leading industry experts
  • Be the first to hear about our extensive events schedule and awards programmes

Join now


Already an Investment Week


More on ESG

Investors look away from energy intensive sectors such as chemicals, metals and manufacturing.

'An investor's worst nightmare': Energy rationing spells greater chaos for supply chains

Business confidence falls

clock 05 August 2022 • 5 min read
Lee Robinson, founder and CIO, Altana Weath

Carbon trading: the big long

Time for a different hedge

Lee Robinson
clock 05 August 2022 • 4 min read
25 out of 36 companies in Morningstar’s coverage have faced controversy over human rights abuses.

High ESG risk fashion industry continues to threaten investor capital

Luxury apparel faces counterfeit risk

clock 04 August 2022 • 2 min read