2020-04-02 00:00:00, Jeffrey Rosenberg, CFA, BlackRock Blog

Content Categorization
/Finance/Investing

Word Count:
1036

Words/Sentence:
20

Reading Time:
10.36 min

Reading Quality:
Advanced

Readability:
16th or higher

Media Sentiment
Proprietary sentiment analysis on both the headline and body text of the article. Sentiment scores range from -1 (very negative sentiment) to 1 (very positive sentiment).
RCS Analysis
Relative scoring for Risk, Crisis, and Security language within the article.
Risk Score
Scoring based on the composite risk, security and crisis language within an article compared to a baseline of historic analysis across thousands of diverse articles.
PESTEL Scope
Analysis of article orientation across the PESTEL macro-environmental analysis framework. Learn more about PESTEL.
Entity Word Cloud
Key people, places, organizations and events referenced in the article, weighted by frequency and colored based on contextual sentiment.
Auto Summary
Condensing key features of the article based on salience analysis. Helpful for “gisting” the article in a time crunch.

Current ESG measurement is imperfect.

Fundamental investors can capitalize on the confusion.

Data providers assign headline ESG scores to thousands of companies globally, but there are shortcomings: Not all companies are rated.

Social issues can sway voting tendencies, which in turn affect regulations and even tax rates.

Once ESG is more fully reflected in market pricing, the opportunity will be in predicting changes to ESG scores.

ESG is not a fad.

Once ubiquitous, the opportunity will be in anticipating changes to ESG scores.

We see ESG as an enduring market theme.

Tony DeSpirito discusses its potential impact on ESG investing and how it may hasten an important trend for active investors.

The COVID-19 pandemic has been extraordinary in countless ways.

The portion of active equity assets directed to ESG mandates is on the rise and, not surprisingly, mentions of "ESG" in broker reports have spiked, as shown below.

Keywords
Investment Outlook

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