Responsible investing has become a focus area in the investment industry, but greenwashing is rife and the sales pitch is strong, so what really matters? Research IP helps many of our consulting clients navigate the maze, but no one client is the same. For more context, our research paper, Beneath the Surface of Responsible Investing, takes a deeper look at the investment merits of different managed fund approaches applied in New Zealand, Australia, the United States, and Europe. 

We bring you the RIPPL Sluice to provide examples of responsible investment in action every month. 

China’s Dominance in Clean Energy Metals

The necessary shift from fossil fuels to renewable energy opens up interesting questions about how geopolitics, and these supply chains, will be affected. In the race to secure raw materials needed for the green revolution, new world powers could emerge as demand for clean energy metals grows. For now, China has the lead.

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Does Passive ESG Investing Actually Exist?

The rapid growth of global ESG assets under management corresponds with the growth of popular ESG indexes. But changing methodologies and expanding exclusion lists are increasing the active risk of these indexes. The situation led three researchers to ask a simple question: “Does the term ‘passive’ even apply to ESG investing?” Short answer: It’s complicated. Their complete analysis was recently published by Enterprising Investor.

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The green inflection point: Driving decarbonization of the real economy

Some of the key tools and approaches used by the financial sector to address climate change have historically focused on “not doing” certain things, whether they be limiting lending, removing portfolio exposures through exclusion, or divesting, to name just a few. While all these activities send a message, help create awareness and lead to acceptance, their real-world impact on decarbonization has limitations.

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Research IP delivers high quality investment fund research and consultancy services to financial advisers, charities & NFPs and the broader financial services industry. Our experience spans well over 20 years working directly across the multiple facets of finance, so we understand the key drivers and challenges for managers, as well as the impact for investors and the broader industry.

We strive to give you the best information, so you can help your clients make better decisions, and feel more confident about doing business with you. We believe that not only can everybody win, everybody should.

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Photo credits: Visual Capitalist, CFA Institute, UBS

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While every care has been taken in the preparation of this information, Research IP makes no representation or warranty as to the accuracy or completeness of any statement in it including, without limitation, any forecasts. Past performance is not a reliable indicator of future performance. This blog post has been prepared for the purpose of providing general information, it is not personal financial advice and should not be relied upon as a substitute for detailed advice from your authorised financial adviser. You should, before making any investment decisions, consider the appropriateness of the information in this email, and seek professional advice, having regard to your objectives, financial situation and needs.

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