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It’s a great time to be a sustainability editor – if you’re lazy. Never, even during the dot-com era, have I been bombarded with so many offers of comment from asset managers eager to set out their stalls. If I let the floodgates stand open, I’d have enough copy to last for years.
So why am I worried? Because, amid recurrent warnings that environmental, social and governance (ESG) propositions are already inflating into a bubble, I see anything but sincere conversions to environmental and socially responsible theses in this wave of interest. I do see every sign of an investor fad, driven by financial markets looking for the next trend, and dictated and sized not in proportion to the actual needs and available tools for environmentally and socially beneficial investing, but by the demands of a huge surplus of moribund global capital, constrained by declining traditional returns, and desperate for more yield, of any kind.