Yale’s Social Investing Needs Clarity

According to an article in Bloomberg by columnist Nir Kaissar, Yale University recently announced that its $29.4 billion endowment could exit private investments it “deems unethical, extending a policy it has long applied to investments in public markets.” But the article argues that the attention garnered by sustainable investing “hasn’t yet translated into investment,” at least as measure by the flow of funds into ETFs: The industry, writes Kaissar, has a basic problem: “Investors are… Read More

Lower Returns from Sustainable Investing?

A recent Barron’s article debunks the argument that sustainable, or ESG, investing leads to lower returns for investors. “When critics beat up on ESG, they are often right—but the problem is simply bad implementation,” the article explains, adding that ESG investing requires understanding about how companies are “adapting to transformational change.” It cites examples, including that of European electric utility companies that missed the boat on renewables and “lost half a trillion in market capitalization… Read More