View more on these topics

Hermes unveils new carbon tool to help improve ESG investing

Hermes Investment ManagementGrowth-Emerging-New-Plant-General-700x450.jpg has unveiled a new ESG investing tool to help its fund managers assess a fund’s carbon performance and risk.

Hermes says the tool assesses the carbon risk of an investment fund relative to its benchmark and of listed companies with their peers.

The tool will also be used for client reporting to demonstrate how ESG is being integrated into a fund.

As well as identifying companies that need to reduce carbon emissions, the tool will gauge the level of carbon risk within portfolios and the progress being made by firms.

It will also calculate the profit at risk for an investment fund for different carbon pricing and policy scenarios.

Hermes head of investment Eoin Murray says: “Assessing carbon risk helps identify investment opportunities and threats to value, and begin or intensify engagements that can reduce the risk of holding exposed companies.”

A recent survey by Aon found that 68 per cent of institutional investors globally consider responsible investing important.

As social and environmental awareness grows amongst investors more and more asset managers embracing ESG investing.

However, anecdotal evidence suggests advisers have been less positive about recommending them.

Under new government rules unveiled this week, pension scheme members will be given powers to hold their schemes to account over how social and environmental factors impact their investments.

Last week, Legal & General Investment Management removed eight global companies from its Future World Funds range for not confronting the effects of climate change.


We'll do great things together

Virgin Money bought in £1.7bn deal

The parent of Yorkshire Bank and Clydesdale Bank has agreed to buy Virgin Money for £1.7bn. The businesses say the deal will create the UK’s first “true national banking competitor to the status quo”. The new group will serve around six million customers. A notice to investors from CYBG says: “The combined group will have […]


Chris Curry: State pension knowledge too low for informed decisions

A lot of recent work in the pensions world has been aimed at helping individuals engage with retirement saving: to better understand what they have already, how much they might need and what they will have to save to reach their target levels. The pensions dashboard project and the Pensions and Lifetime Savings Association’s work […]

Ros Altmann

Ros Altmann: My solution to the DB transfer advice debacle

The six million people in defined benefit pension schemes who could be enticed by the high transfer values on offer are causing much consternation among parliamentarians, the regulator and financial advisers. The FCA has found a significant proportion of transfer advice to be unsuitable or questionable. Its latest consultation suggests big changes to the way […]


How much are advisers charging for pension transfers?

Defined benefit pension transfer charges are being put under the microscope again as the regulator turns over more potential conflicts of interest. With the British Steel Pension Scheme the latest to dominate headlines and the FCA ready to interrogate further as it extends its review to include all firms authorised to give pension transfer advice, […]


News and expert analysis straight to your inbox

Sign up


    Leave a comment


    Why register with Money Marketing ?

    Providing trusted insight for professional advisers.  Since 1985 Money Marketing has helped promote and analyse the financial adviser community in the UK and continues to be the trusted industry brand for independent insight and advice.

    News & analysis delivered directly to your inbox
    Register today to receive our range of news alerts including daily and weekly briefings

    Money Marketing Events
    Be the first to hear about our industry leading conferences, awards, roundtables and more.

    Research and insight
    Take part in and see the results of Money Marketing's flagship investigations into industry trends.

    Have your say
    Only registered users can post comments. As the voice of the adviser community, our content generates robust debate. Sign up today and make your voice heard.

    Register now

    Having problems?

    Contact us on +44 (0)20 7292 3712

    Lines are open Monday to Friday 9:00am -5.00pm