Authors
Guido Giese, Linda-Eling Lee, Dimitris Melas, Zoltan Nagy and Laura Nishikawa
In Part 3 of this series, the authors focus on how ESG can be integrated into passive allocations using ESG best-in-class selection-based index methodologies to create created emerging markets, international (World ex U.S.) and U.S. sub-indexes, as the basis for hypothetical regional allocations. The ESG profile of companies in these regions differed substantially, with developed markets (ex U.S.) showing, on average, the highest ESG ratings and emerging markets the lowest.