China's ESG Funds Doubled Since 2021

The video discusses the growth of ESG funds in China, highlighting their promising performance despite a late start compared to Europe. It examines the investment strategies of these funds, noting that some still invest in fossil fuels. The video also analyzes the performance of ESG funds, mentioning their underperformance in Europe and negative returns in China, but suggests a positive long-term outlook. The importance of data and ESG disclosure for better analysis and diversification is emphasized.

What has been the trend in the growth of ESG funds in China over the past five years?

• They have doubled.

• They have decreased.

• They have tripled.

• They have remained stagnant.

Which strategy might an ESG fund use if it wants to include the best-performing companies in their sectors?

• High-risk investment

• Random selection

• Best-in-class

• Exclusion

What percentage of ESG funds still invest in coal companies?

• 20%

• 5%

• 10%

• 15%

What external factor has contributed to the underperformance of ESG funds in Europe?

• Stable interest rates

• The Ukraine war

• Technological advancements

• Decrease in energy prices

What is necessary for fund managers to improve their long-term ESG fund performance?

• Higher interest rates

• More government intervention

• Better data and ESG disclosure

• Increased investment in fossil fuels