Can machine learning give IFA clients an ESG investment selection edge?

Big data

clock • 8 min read

ESG investing is becoming a top priority for investors. Increasingly sophisticated machine learning algorithms and big data could be the solution that gives financial advisers and DFMs the edge as they advance the interests of their clients. Adrian Boulding investigates this in discussion with Dr Daniel Philps, head of investment strategy and partner at Rothko Investment Strategies

Our government is a firm believer in the power of investors to push the companies they invest in towards behaviours that will be kind to the planet. And of course, the investors with the most muscle are those with the most cash to invest. So, it was entirely logical for the government to take powers in Pensions Act 2021 to mandate a new climate-friendly approach by the big pension schemes - those with more than £5bn of assets and the 38 authorised master trusts. From October 2021, they must have an effective governance process for dealing with the climate-related risks to their portfo...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Investment

Why non-transparent managers are behind most failed acquisitions

Why non-transparent managers are behind most failed acquisitions

‘They don’t understand the importance of culture and cohesion’

Rami Cassis
clock 12 April 2024 • 3 min read
Partner Insight: Understanding the investment universe

Partner Insight: Understanding the investment universe

Invesco
clock 12 April 2024 • 6 min read
FCA issues warning notice to Neil Woodford over liquidity failings

FCA issues warning notice to Neil Woodford over liquidity failings

The firm failed on four accounts between 2018 and 2019

James Baxter-Derrington
clock 11 April 2024 • 2 min read