ESG Funds on The Radar for MENA Based Investors

  • Date: 07-Jun-2020
  • Source: Dubai Chronicle
  • Sector:Financial Markets
  • Country:UAE
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ESG Funds on The Radar for MENA Based Investors

Companies with better ESG ratings outperformed the broader market during turbulent first quarter. But for investors who focus on ESG issues, there was some comfort to be found in the relative resilience of ESG funds.. Edris Alrafi, Head of Middle East & Africa for ASI, said: "This is significant because the Covid-19 pandemic is by far the biggest market crisis that many ESG funds have faced.. Most dedicated ESG strategies were launched after the 2008 financial crisis and so have been beneficiaries of the long bull market that persisted for more than a decade thereafter.. And ESG funds appear to have come through the crash in good shape.. Where ESG funds should demonstrate their potential more significantly is once the first phase of the economic recovery is complete.. Edris continued: "Any moves towards a greener economy should reward the environmental focus of ESG funds..