Until now, the market did not have the tools to assess the performance of a fund in terms of sustainability. The only possibility for investors was to choose within those sub-funds that declared to have sustainable or “responsible” investment objectives. These tools (defined as SRI, Social responsible investment) had an approach to stock selection that was limited to the exclusion of some industries (such as those of tobacco or arms manufacturers). Now, instead, most of these funds incorporate ESG issues in the screening process. The Morningstar Sustainability Rating helps investors to overcome these limits and to realize socially responsible investment. Through the use of this indicator, investors can independently assess whether a SRI truly maintains its mandate by investing in companies that stand out for their sustainability policies. Furthermore, given that Morningstar applies this rating to all funds for which it has sufficient portfolio data (approximately 20,000 sub-funds), the investor has the opportunity to go beyond the SRI instruments and consider all those conventional funds that invest in virtuous companies since point of view of compliance with ESG criteria.
Strumenti di scelta sostenibili: il Morningstar Sustainability Rating
Cerrone Rosaria
;Sica Nicola;Tortora Francesco
2020
Abstract
Until now, the market did not have the tools to assess the performance of a fund in terms of sustainability. The only possibility for investors was to choose within those sub-funds that declared to have sustainable or “responsible” investment objectives. These tools (defined as SRI, Social responsible investment) had an approach to stock selection that was limited to the exclusion of some industries (such as those of tobacco or arms manufacturers). Now, instead, most of these funds incorporate ESG issues in the screening process. The Morningstar Sustainability Rating helps investors to overcome these limits and to realize socially responsible investment. Through the use of this indicator, investors can independently assess whether a SRI truly maintains its mandate by investing in companies that stand out for their sustainability policies. Furthermore, given that Morningstar applies this rating to all funds for which it has sufficient portfolio data (approximately 20,000 sub-funds), the investor has the opportunity to go beyond the SRI instruments and consider all those conventional funds that invest in virtuous companies since point of view of compliance with ESG criteria.I documenti in IRIS sono protetti da copyright e tutti i diritti sono riservati, salvo diversa indicazione.
