Why ESG Investing Works: A TruValue Labs Research List

Stockholm (NordSIP) – TruValue labs, the San Francisco developers of the Insight360 app, the platform to analyse sustainability performance utilizing AI to sift through over a million data points per month to provide investment professionals with the most relevant information on ESG factors for public companies and industry sectors, has put together a list of 10 inexorable studies that show how and why ESG investing works.

The list was published by Thomson Reuters and is available here.

Some of the subjects covered are as follows:

  • Corporate financial performance is positively linked most of the time with ESG factors individually and in combination (Friede, Busch & Bassen).
  • How do intangibles contribute to financial performance? (Journal of Financial Economics)
  • What is the ESG relationship to corporate credit? (Hermes Credit; MIT/Breckenridge Capital)
  • Influence of ESG analysis on Portfolio risks and returns (First Affirmative Financial Network)
  • ESG market-based and accounting-based outperformance (Deutsche Bank review)
  • ESG integration can protect investors from bankruptcies, volatility, price declines and earnings risk (Bank of America Merrill Lynch/Thomson Reuters)
  • Momentum matters: How to examine ESG performance allowing a powerful relationship to financial performance (TruValue Lab app)

The TruValue Lab app, which provides timely ESG insights with annual company-reported data filtered by SASB materiality standards, is available on the Thomson Reuters Eikon App Studio.

Read the full list with descriptions here.