Ethical firms’ stock to ‘rocket’

The Covid-19 pandemic and its economic fallout will trigger a “skyward surge” in sustainable, responsible and impactful investing over the next 12 months.

That is according to Nigel Green, chief executive of global financial services firm de Vere Group.

Mr Green said: “Before the pandemic, research revealed that investments that score well in terms of ESG (environmental, social and governance) credentials often outperform the market and have lower volatility over the long-run.

“Since the Covid-19 public health emergency upended the world, the latest broad analysis shows that ESG funds have typically continued to outperform others.”

He added: “The coronavirus pandemic has underscored the vulnerability and fragility of societies and the planet.

“It has underscored that, increasingly, companies will only survive and thrive if they operate with a nod from the wider court of public approval.

“Demographic shifts will support the trend. Millennials cite ESG investing as their top priority when considering investment opportunities.”

“Firms will only thrive with a nod of public approval”