Prof. Dr. Timo Busch contributes to ESG article in The Market

Interest in sustainable investments has grown significantly in recent years. The acronym ESG (environment, social, and governance) is often used in connection with sustainable investments. In the article “ESG as a financial method and solution to real problems,” The Market examines the question of what ESG achieves and how it affects financial performance. The Market interviewed four experts: Prof. Dr. Timo Busch (University of Hamburg), Reto Ringger (Globalance Bank), Tillmann Lang (Yova), and Sabine Döbeli (Swiss Sustainable Finance).

On the subject of financial performance, Prof. Dr. Timo Busch says: "In a meta-analysis of 2,000 ESG studies, we found that 90% of the studies conclude that sustainable investments are not associated with financial disadvantages, and around 50% of them even see a positive financial effect. Adjusted for risk, the financial performance should actually be significantly better.

As a challenge for banks and asset managers, Prof. Dr. Timo Busch is currently developing products that solve real problems and whose environmental impact is just as measurable as their financial performance. He says: “The industry has great potential for development here, and this is where the future of asset management lies.”

You can read the complete article here.