An analysis of the impact of ESG factors on portfolio performance
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| Title: | An analysis of the impact of ESG factors on portfolio performance |
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| Authors: | Cordeiro, Mafalda |
| Contributors: | Ottonello, Giorgio, RUN |
| Publication Year: | 2025 |
| Subject Terms: | ESG score, Portfolio performance analysis, S&P 500, Asset allocation, Domínio/Área Científica::Ciências Sociais::Economia e Gestão |
| Description: | As the demand for sustainable investment strategies rises, understanding the impact of Environmental, Social, and Governance (ESG) scores on investments has become crucial for investors. This study examines the relationship between ESG scores and the performance of S&P 500 firms, from 2004 to 2023. With a dataset retrieved from Bloomberg, two portfolios based on ESG scores criteria were created, and consequently analysed through a hypothetical $10,000 investment. Findings suggest that higher ESG scores do not correlate with superior financial returns. This research contributes to the literature on sustainable investing and provides insights for investors looking to enhance their portfolios through ESG criteria. |
| Contents Note: | TID:203961277 |
| File Description: | application/pdf |
| Language: | English |
| Availability: | http://hdl.handle.net/10362/186160 |
| Rights: | open access |
| Accession Number: | rcaap.com.unl.run.unl.pt.10362.186160 |
| Database: | RCAAP |
Nájsť tento článok vo Web of Science | Abstract: | As the demand for sustainable investment strategies rises, understanding the impact of Environmental, Social, and Governance (ESG) scores on investments has become crucial for investors. This study examines the relationship between ESG scores and the performance of S&P 500 firms, from 2004 to 2023. With a dataset retrieved from Bloomberg, two portfolios based on ESG scores criteria were created, and consequently analysed through a hypothetical $10,000 investment. Findings suggest that higher ESG scores do not correlate with superior financial returns. This research contributes to the literature on sustainable investing and provides insights for investors looking to enhance their portfolios through ESG criteria. |
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