Disclaimer
This is not substantive investment research or a research recommendation, as it does not constitute substantive research or analysis. This material should be considered as general market commentary.
ESG was flying high in 2020 and 2021. As governments committed to net zero dates and the world was determined to ‘build back better’, companies with low carbon emissions performed well and won the favour of investors for multiple reasons. However, the worm has turned, and energy has been one of the best places to invest in over the past year. Meanwhile, the Russian invasion of Ukraine has thrown into relief the importance of energy security and defence to stable and prosperous societies. Here we discuss how managers have responded and ask whether ESG is changing – or is it just over?
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