ESG investment belongs to the field of green investment, which is also commonly known as "socially responsible investment". Social responsibility investment is an investment concept that has attracted much attention in recent years. It means that investors should consider corporate social responsibility performance and social impact in addition to investment returns.

The English full name of ESG is environment, social and governance, which means that in investment, we need to measure the sustainability of enterprises and pay attention to the three core factors of environmental and social impact. The essence of ESG investment is to choose a truly high-quality and sustainable company, rather than a company with short-term resource consumption as its business model.

2. What is the main investment of ESG investment?

The ESG theme excludes companies in industries with high pollution, high energy consumption and overcapacity, and emphasizes the concept of environmental protection, green and sustainable development.

The main purpose of ESG investment is threefold:

(1) Negative screening of investment targets through environmental, social and corporate governance indicators, so as to achieve the purpose of "mine clearance" and improve the return rate of investment portfolio;

(2) Strengthening the social value of investment;

(3) Practice the value orientation of investors.

Third, the investment benefit of ESG.

1, ESG investment strategy has the opportunity to bring obvious excess returns.

Since 2009, the total return of the ESG-focused index (MSCI Emerging Markets ESG Net Return Index) has been better than the traditional standard index (MSCI Emerging Markets Net Return Index).

Step 2 avoid stepping on mines

With more and more effective information in the A-share market, the difficulty and cost of finding _ _ are also increasing. Avoiding "stepping on thunder" will play a more important role than screening high-quality companies. ESG, as an index to comprehensively evaluate the company's risk management and control ability, is naturally the best demining index.

3.ESG information helps to mine companies from a non-financial perspective.

The company's financial report mainly focuses on describing the company's operation from the financial point of view, while ESG information can disclose more alternative information for investors from the non-financial level. For example, the level of energy consumption disclosed by manufacturing enterprises often reflects the advanced level of a company's production technology.