The idea of ESG investing is not new. Ancient religions laid own moral guidelines for investment, and early Method- ists and Quakers banned members from participating in
morally suspect trades. Civil rights leaders urged people to direct
their money in ways that would influence corporate behavior.
What is new is the increasingly widespread adoption on an institutional level. As the appetite for ESG considerations increases, challenges remain on how the market can truly scale sustainable investing.
Fragmented data sources, product gaps, and cost barriers may hinder
broad adoption of sustainable investments. CIO Contributing Editor
Amrita Sareen-Tak led a discussion with asset owners and a consultant to garner their thoughts on the current marketplace’s ability to
scale ESG investing and the changes needed.
The panel included: Shuaib Siddiqui, Director, Impact Investing:
Surdna Foundation, $1 billion AUM; Susan Hammel, Executive in Residence: Minnesota Council on Foundations, combined
$3.4 billion; Seth Magaziner, Treasurer: Rhode Island State Treasury, $8 billion; Xavier Briggs, Vice President: Ford Foundation,
$12 billion; and Tom Mitchell, Managing Director: Cambridge
Associates, $142 billion AUA, $20 billion AUM
CIO: What does sustainable investing mean for your
HAMMEL: Sustainable investing means achieving a sufficient
financial return to achieve the mission each foundation drives, and
investing in a way that is sustainable for the planet, our communities,
Investors talk about challenges, product gaps and innovative strategies
for scaling sustainable investments.
Reported by Amrita Sareen-Tak / Art by Eleanor Davis