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June 29, 2020

Sustainable funds hold their own as markets tumble worldwide

  • More than three quarters of ESG stock indexes have held up better than their non-ESG peers so far this year.
  • By STAN CHOE
    AP Business Writer

    NEW YORK — A steadier and more sustainable way to invest. That’s how a growing cadre of fund managers pitch their approach, one that considers how companies perform on environmental, social and governance issues. Maybe they’re right.

    Many such funds held up as well or better than their traditional rivals during the severe, sudden sell-off after the COVID-19 pandemic struck. By doing so, these funds, often called ESG investments, rewarded the investors who have been pumping record amounts of cash into the field.


     
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