Lyxor Asset Management (“Lyxor”) has published the findings of a new research paper addressing one of the most topical questions for investors: does environmental, social and governance-focused (ESG) investing lead to a negative impact on returns?

- ESG investors do not have to compromise on performance. A positive screening strategy based on ESG scores can raise the ESG profile of portfolios, without denting returns
- ESG investing is on the rise worldwide, driven by top-down policy initiatives and bottom-up demand from investors across the size spectrum
- Cash flows into ESG funds are accelerating, both for active and passive funds
- Lyxor views ETFs and ESG as a natural fit and expects this segment of Europe’s ETF market to grow substantially further