ESG INVESTOR COLLABORATION RADAR
Latest trends, stats and effective strategies for companies to address ESG investor collaboration
As global assets integrating Environmental, Social and Governance (ESG) considerations continue to swell, institutional investors are increasingly using collaborations as a means of engaging with their portfolio companies.
By combining asset ownership, these collaborations can leverage collective resources and knowledge to influence companies on a wide range of ESG topics and improve transparency.
Leaders Arena monitors the growth in membership and assets supporting ESG related investor collaborations.
In our 2020 study on this topic, we uncover growing support for these initiatives, new collaborations and growing ESG trends. The study focuses on 37 investor collaborations with a minimum combined size of $1 trillion in Assets under Management (AuM) with a global impact. The findings of this study and implications for IRO's was discussed in our guest article published by IR Magazine.
Key takeaways from this study:
Investor collaborations have grown exponentially with an increase in assets following by nearly 75% between 2018 and 2020.
Of the eight new collaborations formed since 2018, six were created to influence corporate behavior on social topics including Covid-19 and the 2019 Brazil tailings dam disaster
Many companies find it challenging to keep up with the diverse and evolving approaches to ESG integration within their investor base. By following these initiatives, companies will be able to prioritize their time and resources more effectively, addressing issues that are of concern to some of their key investors.