With crisis sparking a collective demand for change, it’s time for ESG investing to move from a check-the-box component of investment portfolios to a must-have for all portfolios.
Explore the ESG landscape and consider how assessing material ESG issues can enrich traditional financial research, enabling you to pursue sustainable performance, manage risk and align investments with your values.
There is no one-size-fits-all approach to ESG investing. Our experts thoughtfully craft ETFs to meet our clients’ evolving needs so they can pursue the value ESG investing can add to portfolios.
Delve into this educational series for guidance on how to incorporate ESG considerations and build sustainability across your investment portfolios.
An Integrated Approach to ESG and Quality
In the past, environmental, social and governance (ESG) considerations were often used as overlays in existing portfolios, i.e., as screening tools rather than as an integrated component of the investment process. The last decade has seen a shift by asset managers toward incorporating ESG concepts into their investment philosophies, with the aim of enhancing alpha generation and risk mitigation.
ESG has long been central to State Street Global Advisors’ mission — we invest responsibly to enable economic prosperity and social progress.
1 State Street Global Advisors, June 2020, based on Morningstar data as of May 31, 2020.
2 State Street Global Advisors,March 31, 2021.
The returns on a portfolio of securities which exclude companies that do not meet the portfolio's specified ESG criteria may trail the returns on a portfolio of securities which include such companies. A portfolio's ESG criteria may result in the portfolio investing in industry sectors or securities which underperform the market as a whole.
Investing involves risk including the risk of loss of principal.
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