Responsible investing can boost returns

Environmental, social and corporate governance (ESG) factors can have a positive impact on portfolio returns, according to a growing body of academic research. A report* published yesterday by investment consultancy Mercer analyses 16 academic studies, 10 of which show ESG factors have a positive impact on companies' financial performance, four a neutral impact and two a neutral-to-negative impact. "The idea that responsible investment does not have to come at a cost to performance …