The Power of Impact Investing
Based upon the money flows, one would say ESG has been a resounding success. Investors poured US$54 billion into bond funds specialising in ESG impact as of August 2021, according to Morningstar, which said 2021 was on track to surpass 2020’s record. This is on top of the claims of US$40 trillion committed to ESG. Unfortunately, the money does not seem to have addressed the issues at stake, such as water shortages, biodiversity loss and climate-change destruction.