| There
is significant potential for ethical investment in some emerging
markets despite common beliefs that this is not the case,
according to a new study from Ethical Investment Research
Services (EIRIS).
The research, Broadening horizons for responsible investment:
an analysis of 50 emerging market companies, assessed
companies against a variety of investor styles to determine
trends or patterns which might provide insight into ways
of approaching investment in emerging markets. It showed
that a majority of the companies studied made some attempt
to address environmental, social and governance issues,
with some giving ESG issues significant consideration.
The report also found that, overall, emerging market companies
reporting on ESG issues were not as advanced as their developed
market peers, but there were some exceptions to this. Telecommunication
companies, oil and gas producers and banks, for example,
compared favourably with large developed market companies.
To view the full report visit www.eiris.org/files/research%20publications/emergingmarketseep06.pdf
The report comes on the back of a guide produced by EIRIS
earlier this month, Responsible Investment Approaches
to Non-equity Investments, which was published to help
charities take advantage of the range of non-equity responsible
investments available including property, bonds and hedge
funds.
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