Fund managers overestimate social and environmental impact

Middle-aged managers fare best

James Baxter-Derrington
clock
Middle-aged managers outperformed their older and younger counterparts in all areas
Image:

Middle-aged managers outperformed their older and younger counterparts in all areas

Fund managers overestimate the social and environmental impact they bring to investments by an average of 10%, according to a new report from Snowball.

The survey asked managers to self-assess their impact across five categories - missions and behaviours, impact process, active ownership, catalytic and impact risk management - and then moderated the scores according to Snowball's best practice framework, and found a range of scores from 7.1 to 13.3 out of 15. The 'S' in ESG: What benefits can social factor analysis offer investors? It found that across all categories but impact risk management, middle-aged managers (with five to 20 years' experience) outperformed their older and younger counterparts, with the former lacking "the same...

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
member?

Login

More on ESG

Trustpilot