The Past, Present and Future of ESG Investing in the Hedge Fund Industry
Richard Morris was featured in The Hedge Fund Law Report regarding why some hedge fund managers have been slow to incorporate environmental, social and governance (ESG) factors into their investment process. Morris noted that the inability to measure the impact of ESG investing may be preventing managers from adopting ESG strategies. The current state of disclosures on environmental and social factors by public companies is generally insufficient to allow an investor to adequately measure the impact of its investment from an ESG perspective. Until reporting improves, he believes that some managers will remain reluctant to hold themselves out as ESG investors.