Sat, Dec 5, 2020
Welcome Guest
Free Trial RSS
Get FREE trial access to our award winning publications
Alternative Market Briefing

40% of surveyed hedge funds consider ESG factors in investment decision

Friday, October 30, 2020

Laxman Pai, Opalesque Asia:

A survey by BNP Paribas Corporate and Institutional Banking of hedge funds found that 40% already implement Environmental, Social and Governance (ESG) criteria, while nearly 60% say they will incorporate ESG within the next two years.

The report highlighted that hedge funds are "reaching a tipping point" for ESG integration as they become "increasingly aware of their responsibilities to the environment and society".

Whilst the majority of funds surveyed do not currently integrate ESG, most of those who do only started integrating ESG in 2018. On this trajectory, by mid-2022 the majority of hedge funds will be integrating ESG approaches - likely sooner.

More than half (57%) of hedge funds in the survey will integrate ESG considerations no later than 2022, it said. 53 hedge funds with a combined AUM (Assets under Management) of more than $500 billion participated in the survey by BNP Paribas.

However, hedge funds are becoming increasingly aware of their responsibilities to the environment and society. 55% of hedge funds use ESG principles in the management of their companies driven by firm leadership. 62% of hedge funds are measuring their operational carbon footprint.

Interestingly, the survey found that the imbalance is not simply a matter of hedge funds being unconvinced about the business case of integrating ESG for a sustainable future, but that there are key barriers that have delayed integration. For ......................

To view our full article Click here

Today's Exclusives Today's Other Voices More Exclusives
Previous Opalesque Exclusives                                  
More Other Voices
Previous Other Voices                                               
Access Alternative Market Briefing


  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. Renaissance, Two Sigma see losses as quant giants navigate chaos, Hedge fund run by BofA veterans trounces 99% of Brazil peers, Amid a tough year, CQS makes changes - and sees a rebound[more]

    Renaissance, Two Sigma see losses as quant giants navigate chaos From Bloomberg: Two of the hedge fund industry's quantitative powerhouses are getting tripped up this year as wild markets throw off their investing models. Renaissance Technologies, which manages the world's biggest q

  2. Investing: Hedge funds bet on tech ahead of unpredictable fourth quarter, The Tiger crowd's fresh buys, raises Uber stake, David Einhorn adds Twitter and Intel shares, keeps big bets on inflation, Palantir stock rockets to record highs as hedge funds disclose stakes, Trian dumped GE stock, but Druckenmiller stood pat in Q3 as SEC probe heated up[more]

    Hedge funds bet on tech ahead of unpredictable fourth quarter From Bloomberg: Hedge funds mostly stuck with the safety of technology stocks during the third quarter as they headed toward the uncertainty of this month's U.S. election. If they're still holding on to those wagers, it will

  3. SPACs: As Ackman hunts blockbuster deal, he counts on big backers[more]

    From Reuters: Hedge fund veteran William Ackman has the support of some of Wall Street's top investors as he tries to pull off the biggest-ever deal carried out by a blank-check acquisition company, according to regulatory filings published in the last few days. Among the heavy hitters rounded u

  4. Bill Ackman is bullish on stocks for 2021, but has a hedge position for a 'tragic' end to 2020[more]

    From CNBC: Billionaire hedge fund manager Bill Ackman, who made big money betting against the markets earlier this year, said he's optimistic about a recovery in 2021, but investors will need to get through a "tragic" year-end first. "We think the next couple of months unfortunately are going to

  5. SPACs: Media, energy-focused SPACs raise $561m in market debuts[more]

    From Law 360: Two blank-check companies, one led by former Disney executives and the other backed by Apollo Global Management, started trading Wednesday after raising a combined $561 million in initial public offerings. Forest Road Acquisition Corp. raised $261 million in its upsized debut, wh