The Role of ESG Investing in Green Growth

The dominant ESG investing strategy provides weak incentives for so-called brown firms like yours to become greener. The US has taken a very different approach, which is much more the carrot as opposed to the stick approach. What it encourages is hiding away high emissions businesses within portfolios of very large revenue bases. I think if you really want to get more to the point and sophisticated about these things, they need to be sectoral in terms of the way that you evaluate them.