Why the backlash against 'woke finance' won't stop the rise of ESG investing
Lazard Asset Management has embedded ESG into its investment process. But it is witnessing an emerging split in the US on the issue.
Jennifer Anderson is co-head of sustainable investments and ESG research at Lazard Asset Management, based in London. She took time out of a busy trip to Sydney to tell us about how analysts at the firm have incorporated ESG indicators into their investment research, and what to make of the anti-ESG pushback that is sweeping across the US.
Where does ESG fit into the investment research process at ESG at Lazard Asset Management?
We've very much focused on embedding ESG into our research. So we have a large fundamental investment platform and analysts are asked to consider ESG when they cover companies. At some asset managers, ESG factors have not been incorporated into investment decision making. My co-head who sits in New York and I both report to the global director of research, and we are very much part and parcel of the research platform.
In recent years we have been building out our team because the firm has realised the increased relevance of ESG research, and we now have a team of 14 spread across three continents. We are spread across four verticals — research, stewardship, data & analytics and client services.
