The long-term investment initiative aims to understand the impact of corporate social responsibility sustainability, and superior governance standards on listed companies. Research within this theme investigates environmental, social, and governance (ESG) performance of corporations, and their sustainable investment strategies. It explores the role of shareholder engagement and divestment campaigns for long-term investing. The programme's overall goal is to deliver outstanding academic research on sustainable long-term investment to asset managers, pension funds, insurance companies, and family offices.
Core research areas include: Corporate Social Responsibility & Corporate Governance and Long-Term Investing Approaches. In order to develop creative solutions, close collaboration has been forged with the University of Oxford's Saïd Business School and the Global Projects Center at Stanford University.
The Long-Term Investment research group undertakes practitioner-related research on sustainability, responsible investment, corporate social responsibility, and climate change risks for the financial industry. The group considers questions such as:
- What do long-term investment approaches look like? Which roles do sustainable and/or responsible investors play in this context? Which role does 'active ownership' play for responsible investment?
- How can asset owners and asset managers use active ownership strategies to promote increased sustainability and corporate social responsibility at investment firms?
- Which active ownership mechanisms do institutional investors have at their disposal?
- How can institutional investors - both asset owners and managers - benefit from active ownership? Are there risk-return implications?
We undertake research on environmental issues (specifically resource scarcity and climate change) that impact the financial industry and address concerns such as:
- How can the financial industry cope with the upcoming challenges of climate change, demographic changes, and/or the depletion of natural resources?
- How does climate change and resource scarcity affect institutional investors' investment portfolios?
- What will a sustainable investment portfolio look like in 2050?
- What effects do these global challenges have on institutional investors' asset-liability management (ALM) models? Can new mathematical and statistical models ensure a better and more accurate ALM?