‘ESG backlash misses the point’

ESG, once shorthand for the booming sustainable investing world, has become an unlikely bogeyman of the American Right. — Bloomberg

LONDON: The politicisation of the acronym ESG risks overshadowing its power to drive returns for shareholders, according to the head of investment stewardship at the UK’s biggest asset manager, Legal & General Investment Management (LGIM).

Taking environmental, social and governance (ESG) issues into account makes financial sense, said Michael Marks who is also head of responsible investment integration at the US$1.5 trillion (RM6.7 trillion) asset manager.