GLOBAL - The financial community needs to agree a common set of terms for the burgeoning environmental and responsible investment (RI) sector if it is to achieve its full potential, AXA Investment Managers (AXA IM) has warned.
Dr Raj Thamotheram, director of responsible investment at AXA IM, said while there was no lack of understanding about what ethical screening or clean tech investments meant, a lack of industry consensus made it more difficult to compare managers.
Thamotheram said: "Having found 16 different phrases to describe sustainability data, it's hardly surprising people are confused and that integration is not moving as quickly as it could.
"If we want mainstreaming to accelerate going forward, finding one or two consensus terms that embody what integration is about would be a very good move."
The survey also examined why investors were turning to ESG and sustainability themes. It found almost two thirds (64.2%) felt there were long term upside benefits and over a quarter (28%) felt ESG could help them avoid long term downside risks.
In terms of importance, those questioned thought ESG was graining traction due to increased investor interest, followed closely by changes in societies' thinking.
PTL has appointed Karein Davie as a client director in its Birmingham office.
The level of interest rate hedging increased to £29.5bn of liabilities in the second quarter as pension funds continued to de-risk, according to BMO Global Asset Management's research.
UK inflation has risen for the first time since November to 2.5% in July, up from 2.4% in June, thanks to rising fuel costs and the price of computer games.
The number of DB pension scheme trustees targeting a buyout with an insurer has increased significantly in the past five years, latest research from Willis Towers Watson shows.