A common concern is that socially responsible investing means having to sacrifice investment returns. There is a robust, and growing, body of evidence that this is simply not the case.

An analysis of 2,200 individual studies of ESG and corporate financial performance found that “the large majority of studies reports positive findings”. This is likely the largest empirical study on the matter, and presents a solid business case for ESG biased investing.

Another study, this one by Morgan Stanley found that “investing in sustainability has usually met, and often exceeded, the performance of comparable traditional investments. This is on both an absolute and a risk-adjusted basis, across asset classes and over time.”

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