Nicole Connolly, Head of ESG and portfolio manager for Fidelity Women’s Leadership Fund, has been following ESG performance during the market downturn. Because the data available for ESG reflect the earlier bull market environment, it has been interesting to see how these companies perform through a downturn – and to see investors sticking to their investments, which suggests that ESG investors are long-term investors and committed to the causes they invest in. Since early 2019, quarterly flows into ESG products have been very strong, and flows into ESG products from the market peak on February 19 to its recent bottom continued to be positive. Nicole believes the crisis has changed individuals’ priorities, and that this shift has the potential to influence the way people think about their investments and the type of companies they choose to invest in.
Recorded on May 20, 2020.