The problem with ESG scores

    by Lorna Logan, Portfolio Manager, Stewart Investors

    Sustainable investing is facing a wave of new regulation, seeking to improve transparency and standardise reporting requirements for sustainability funds. The intentions behind these regulations are laudable; to reduce greenwashing, help separate the wheat from the chaff, and reorient capital towards more sustainable companies.

    However, as with many regulations, there is a risk of unintended consequences. What is the problem?

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