Over the past few years, the bar has been raised in ESG investing. No longer do ESG investments merely seek to limit portfolio exposure to controversial stocks or sectors. Today’s leading-edge ESG investments seek to provide portfolio outperformance while also making concrete, measurable impacts for the greater social and/or environmental good.
In the upcoming webcast, Sustainable Alpha: How Thematic Investing Seeks to Deliver Dual Impact, Wendy Wong, head of sustainable investment partnership at New York Life Investments, and Keith Dixson, head of international business development at CANDRIAM, a New York Life Investments company, will discuss how investors can look to achieve “sustainable alpha” — that is, portfolio outperformance through the use of impact investments aligned to the UN’s Sustainable Development Goals.
IndexIQ, a New York Life Investments company and a leading provider of innovative investment solutions, also offers a line of environmental, social, and governance, or ESG, related ETFs, including the IQ Candriam ESG US Equity ETF (IQSU) and the IQ Candriam ESG International Equity ETF (IQSI), which incorporate CANDRIAM’s industry-leading ESG research and data for the first time in a cost-effective ETF wrapper.
The funds track the two IndexIQ indexes: the IQ Candriam ESG US Equity Index and the IQ Candriam ESG International Equity Index. IQSU focuses on U.S. equity securities of companies meeting certain ESG criteria, while ISQI tracks foreign developed equity securities of companies meeting certain ESG criteria.
The ETFs track indexes that offer broad market exposure to large- and medium-cap companies satisfying the environmental, social, and governance (ESG) criteria developed by CANDRIAM, a fellow New York Life Investments business, and a global multi-specialist asset manager with over 20 years of expertise in sustainable investing.
CANDRIAM’s proprietary ESG evaluation process includes a dedicated ESG research team, which reviews companies on environmental, social, and governance considerations, either in absolute terms or relative to their peers in each sector, focusing on the most material ESG factors.
The CANDRIAM research is supported by a team that engages with companies as part of collective initiatives or individually, with the aim to improve corporate disclosure on ESG topics or foster better corporate practices on ESG matters. Using the research as a key input, CANDRIAM applies sustainable investing criteria across the firm.
Financial advisors who are interested in learning more about sustainable investments can register for the Monday, December 13 webcast here.