# CAMRADATA publishes ‘Responsible Investing Roundtable – ‘The metric for success?’ – a new white paper for investors and asset managers Author: Pal Sinha, Barnali Author URL: https://financedigest.com/author/pal-sinha-barnali Published: 2018-05-29 Category: NEWS Category URL: https://financedigest.com/category/news Meta Title: Responsible Investing Roundtable: The Metric for Success? Meta Description: Explore the impact of company culture on responsible investing & the role of ESG factors in funding models. Are ESG benchmarks a true metric for success? URL: https://financedigest.com/camradata-publishes-responsible-investing-roundtable-the-metric-for-success-a-new-white-paper-for-investors-and-asset-managershtml ![undefined](https://prod.superblogcdn.com/site_cuid_cm5qst7v3003gwirgwqtxn8i8/images/fd290518-11-1736842691270-compressed.jpg) CAMRADATA, a leading provider of data and analysis for institutional investors, has published a new white paper, ‘ [Responsible Investing Roundtable  – The metric for success?](http://www.camradata.com/wp-content/uploads/2018/05/Full-whitepaper-FINAL.pdf)’ based on discussions amongst leading investors and asset managers. The roundtable panellists discussed the impact of company culture on responsible investing, whether Environmental, Social and Governance (ESG) factors should be incorporated into funding models and the effect of corporate short-termism when it comes to making investment decisions. Sean Thompson, Managing Director, CAMRADATA said, “There are many different flavours of responsible investing – from firms integrating ESG factors as part of their overall process, to firms producing SRI-specific funds which could exclude certain types of stocks and/or strategies that track how they make a tangible impact in the world. “With responsible investing gaining momentum, we expect to see increased transparency and data measuring how investments are making an impact. There is also room for more tangible analysis to determine whether this type of investing is truly a ‘metric for success’,” adds Mr Thompson. The panel at the roundtable discussed the efficacy of [Low Carbon](https://www.financedigest.com/low-carbon-bitcoin-crypto-miners-green-power-talk-angers-texas-locals.html "Low-carbon bitcoin? Crypto miners’ green power talk angers Texas locals") indices and the pressures on the directors of quoted companies to make investments for short-term profit rather than long-term sustainability. They agreed that the relationship between shareholders and directors could be improved from both sides and that shareholders collectively have not pressed hard enough for long-term thinking. There was also consensus that ESG analysis should be integrated within the portfolios managed by commercial [asset](https://www.financedigest.com/exclusive-allianz-in-talks-with-banks-for-china-asset-management-venture-sources.html "Exclusive-Allianz in talks with banks for China asset management venture -sources") managers. They highlighted that unless this happens, ESG [analysis](https://www.financedigest.com/analysis-rbc-tightens-grip-at-home-with-10-billion-hsbc-canada-bid-regulatory-risks-loom.html "Analysis-RBC tightens grip at home with billion HSBC Canada bid, regulatory risks loom") is at risk of being an option that can be ignored by those in charge of portfolios without any consideration of the risks. They pointed out, however, that this ignorance is less prevalent among younger managers. The discussion’s overarching theme was the need for asset owners and asset managers to [understand corporate](https://www.financedigest.com/corporate-leadership-understanding-your-own-bias.html "Corporate Leadership: Understanding Your Own Bias") culture and ally with organisations that demonstrate the best, most robust culture. **Key highlights:** An overheating world is regarded by many as the greatest threat mankind faces this century and governments around the world are endorsing [carbon emission](https://www.financedigest.com/greenpeace-germany-sues-volkswagen-over-carbon-emissions-targets.html "Greenpeace Germany sues Volkswagen over carbon emissions targets") programmes. The panel were asked how they respond as financiers to this [changing](https://www.financedigest.com/digital-marketing-for-finance-and-insurance-firms-is-changing-are-you-ready.html "Digital marketing for finance and insurance firms is changing — Are you ready?") environment. They noted that the popular response is to track a Low Carbon index. Tracking Low Carbon indices can cut portfolio exposure to carbon [emissions](https://www.financedigest.com/how-application-management-can-help-tackle-the-finance-industrys-carbon-emissions.html "How application management can help tackle the finance industry’s carbon emissions") by more than 75%, with annualised tracking error of 0.3%. They discussed the risks and [opportunities of investing](https://www.financedigest.com/railway-bearing-market-size-2021-key-manufacturers-industry-share-investment-opportunities-future-trends-market-impact-revenue-demand-and-analysis-by-forecast-2030.html "Railway Bearing Market Size 2021 Key Manufacturers, Industry Share, Investment Opportunities, Future Trends, Market Impact, Revenue, Demand and Analysis by Forecast 2030") within the constraints of such benchmarks. Solange Le Jeune, ESG analyst at Candriam Global Investors, said, “When clients want to invest within the constraints of the benchmarks, it is our role to pick the best [stocks](https://www.financedigest.com/mutual-funds-vs-stocks-which-is-better.html "stocks") and make the most of engagement activities – asset managers cannot simply turn our back on High Carbon sectors.” Another theme was the issue of engagement and the difficult conversations with companies about why [investors won’t invest](https://www.financedigest.com/why-are-investors-checking-out-of-uk-buy-to-let-and-checking-in-to-hotel-investment.html "WHY ARE INVESTORS CHECKING OUT OF UK BUY-TO-LET AND CHECKING IN TO HOTEL INVESTMENT?") with them following corruption or natural disaster scandals. Philip Ripman, Senior Analyst and Portfolio Manager at Storebrand Asset Management, claimed that engagement can only really be effective if there is the threat of divestment, probably accompanied by publicity around the event by the divestor. He told the panel how Storebrand had publicly [called on Statoil to divest from tar sands in Canada and was visited](https://www.financedigest.com/zelenskiy-calls-on-german-chancellor-to-visit-ukraine-on-may-9.html "Zelenskiy calls on German chancellor to visit Ukraine on May 9") by the representatives from Alberta following its campaign. Sean Thompson, Managing Director, CAMRADATA concluded, “Through our [investment research, roundtable events and publications such as our white papers and quarterly reports we offer clear and independent institutional investment analysis](https://www.financedigest.com/an-analysis-of-vc-investment-in-the-defence-sector-and-the-mods-readiness-to-exploit-digital-opportunities.html "An analysis of VC investment in the Defence sector and the MOD’s readiness to exploit digital opportunities"), as well as valuable insight. “This latest white paper is essential reading for [investors interested in responsible investing](https://www.financedigest.com/unregulated-investment-schemes-remain-a-threat-to-investors.html "Unregulated Investment Schemes Remain a Threat to Investors") and is available for download. CAMRADATA also offers assisted searches for institutional [investors with very specific manager](https://www.financedigest.com/activist-investor-elliott-management-takes-stake-in-salesforce-sources.html "Activist investor Elliott Management takes stake in Salesforce -sources") search requirements. This [service](https://www.financedigest.com/credit-agricole-and-caceis-to-buy-rbc-investor-services-europe-unit.html "Credit Agricole and CACEIS to buy RBC Investor Services’ Europe unit") is free of charge for institutional investors.” Click [here](http://www.camradata.com/wp-content/uploads/2018/05/Full-whitepaper-FINAL.pdf) to download the white paper. For more information on CAMRADATA visit [www.camradata.com](http://www.camradata.com) --- This blog is powered by Superblog. Visit https://superblog.ai to know more. ---