Fund managers overestimate social and environmental impact

Middle-aged managers fare best

Fund managers overestimate the social and environmental impact they bring to investments by an average of 10%, according to a new report from Snowball.

The survey asked managers to self-assess their impact across five categories - missions and behaviours, impact process, active ownership, catalytic and impact risk management - and then moderated the scores according to Snowball's best practice framework, and found a range of scores from 7.1 to 13.3 out of 15. The 'S' in ESG: What benefits can social factor analysis offer investors? It found that across all categories but impact risk management, middle-aged managers (with five to 20 years' experience) outperformed their older and younger counterparts, with the former lacking "the same...