Could sustainable "ESG products" weaken investments?
Sustainability and financial investments, a dream couple? In his award-winning paper, Dr. Lars Kaiser, assistant professor at the University of Liechtenstein, proves that sustainability does not weigh on the financial performance of investments. On the contrary.
Sustainable investments are not a burden on traditional investment practice. This is what Dr. Lars Kaiser, Assistant Professor at the Chair of Business Administration, Banking and Financial Management at the University of Liechtensteinin a study. For this he has now received the first prize in the "2019 Call for Papers Contest" of the American Brandes Institute.
The title of his article is "ESG Integration: Value, Growth and Momentum". ESG stands for Environmental, Social and Governance. These three aspects summarize areas of action that sustainably protect nature, ensure social progress and improve governance standards.
According to a Media release Kaiser's ESG study represents a direct interface to the "ESG Kompakt" event at the University of Liechtenstein. All the major associations in the Principality could have been won over for this.
Kaiser's work provides detailed results on the financial effectiveness of ESG integration in combination with mainstream active investment styles, he said. "In particular, it shows that U.S. and European value, growth and momentum investors can increase the sustainability performance of their portfolios without compromising financial performance." According to the media release, the findings contribute to the growing demand for sustainable products.
