We propose that investment strategies move in cycles. From the initial seed of the idea, wherever that comes from, through to either its ultimate “expiry”, or possibly a “reincarnation”. It is clear to us that ESG (for want of a more clear and cohesive term) funds are very much in vogue at present and entering their Growth phase of the Strategy Cycle. Maximising the long-term chances of success for ESG funds is going to be pivotal in achieving individual and collective objectives.
So, what lessons can be learnt from previous investment Strategy Cycles and what are the consequences for the ensuing growth of ESG funds?