ESG vs non ESG portfolios: What strikes harder than a slap of Will Smith?
Curbing global #temperature will be a grueling task for developed countries, the largest polluters, all the more so as climate change repercussions are most often felt by emerging nations before others. However, a fast and global remodeling of the #economic engine is needed to avoid irreversible consequences. In this perspective, the IPCC (Intergovernmental Panel on Climate Change) has framed five SSP (Shared Socioeconomic Pathways), or #scenarios, to estimate the level of greenhouse gas emissions under different climate policies – from most to least #sustainable.
Good COP Bad COP: a critical view on governments’ environmental commitments
In September 2021, the weighted carbon price was around $40 per ton of CO2. At this level, carbon credits are not accurately pricing the negative externalities of global warming and therefore they do not constitute a deal breaker for companies conducting due diligence on projects that are environmentally harmful, but still very profitable.
Sector rotation hurts, but green investors hold their breath for COP26
After winning fame for “Most Underperforming Asset” over the last few years, commodities are now putting a smile on the face of fossil fuel investors. After months of frustration from lockdowns, the reopening of the economy unleashed a hoard of heavy pocketed avid buyers. Industrial activity also resumed at full throttle. So much so that the imbalance in supply and demand, amplified by supply chain bottlenecks, naturally drove prices higher in everything from furniture and food to cars and particularly energy.
SDG 7 and Hydrogen:
a new investment thematic?
As the world struggles to control climate change and CO2 emissions, the search for alternative sources of energy is accelerating. Renewables (solar, wind and hydro power) have made good progress in terms of both capacity and efficiency, driving down costs. However, one of the biggest challenges is how to store the power generated from those renewable sources.
SFDR, MiFID and the many shades of Green Investing
In the wake of the ESG gold rush, the European Union hastened to step in and legislate the sustainable taxonomy of investment funds. The SFDR aims to standardise sustainability disclosures and help institutional asset owners and retail clients separate the wheat from the chaff. The goal of this initiative is to normalise ESG reporting and leverage the underlying power of capital markets to meet carbon emissions reduction targets.
Reporting ISR pour les portefeulles d'investissment: trois bonnes raisons pour s’y mettre
Le Règlement « Sustainable Finance Disclosure Regulation » (SFDR) est entré en vigueur le 10 mars 2021. Ce texte comprend de nouvelles obligations pour les acteurs des marchés financiers européens quant aux critères IRS (investissement socialement responsable), ESG en anglais.
Blue is the new Green:
the next wave of Sustainable Investing
We have all heard about Green Bond and its siblings : Social Bond and Sustainability Bond, but little has been written about the newborn of the credit family: Blue Bond.
Most institutional bodies - corporates, financial institutions, governments, and municipalities - can issue blue bonds to fund ocean-related assets and to deliver initiatives that support the SDGs (the United Nation’s 17 Sustainable Development Goals).
The importance of materiality for ESG impact analysis
There are more and more environmental, social and governance (ESG) information disclosed publicly but it is still challenging to identify, measure and assess which information is more relevant for decision making. The only pertinent ESG information are the material ones, in other words the ones that are reasonably likely to impact the financial condition or operating performance of the company.
ESG vs non ESG portfolios: investors should look up before reaching the point of no return
COP26 came short of expectations, to say the least, but it is worth mentioning that a growing number of investors are venturing into ESG investing. In 2021, Morningstar reported that global sustainable funds attracted record inflows of $4 trillion in 2021
An analysis of the ESG impact of the largest sustainable focused equity mutual funds
ESG and sustainable investing has become a key selling point for most fund promoters. Do funds that claim to be biased towards sustainability really offer investors an exposure to sustainable investments? Can we see this in an analysis of their exposure and biases? In this article we report the results of an analysis we performed on some of the largest equity mutual funds available in the market. What is specific is that our analysis is focused on the sustainability aspects
Post pandemic infra plans should benefit the green transition
The ESG gold rush has never been more real with 330 new funds launched year to date and a threefold increase in the number of companies net-zero targets.
Investors shifted from a myopic profit maximization focus to a more sustainable model where capital appreciation matters as much as environmental and social considerations. This trend confirms the need for SFDR to dissociate change-makers from marketing specialists.
ESG vs non ESG portfolios: SFDR unveiled real sustainable funds and greenwashing attempts
An ever-increasing number of portfolio managers discloses to include ESG criteria in their investment process. SFDR regulation entered in force in March 2021, supporting fund selectors with a precise classification of ESG strategies, in order to identify the purely sustainable investments and to avoid greenwashing.
FARAD GROUP celebrates 20 YEARS with the rebranding of the asset management company
FARAD GROUP CELEBRATES 20 YEARS WITH THE REBRANDING OF THE ASSET MANAGEMENT COMPANY
The Luxembourg-based independent financial group presents the new brand identity and a new path of business growth.
FARAD Investment Management complies the SFDR regulation thanks to GreenEthica Sustainable Scoring System
ITALIAN PRESS RELEASE
FARAD Investment Management, the management company of the FARAD Group presents GreenEthica Sustainable Scoring System (GSSS) the first sustainable scoring system based on alignment with the SDGs.
FARAD Investment Management announces the relocation in the heart of Luxembourg city-center
FARAD Investment Management, the independent asset manager is relocating. The company is moving to 11-17, rue Beaumont in the heart of Luxembourg-city. The building has officially open for business starting from 1st August 2021.