The 3rd installment in the Truth in ESG series is here and it features The Story of the ESG Orphans”.
Mark Neuman, CIO and founder of Constrained Capital, talks about a few of the past episodes highlighting interviews with NYU’s “Dean of Valuation” and ESG skeptic, Aswath Damodaran, as well as with renowned energy expert Dr. Anas Alhajji.
Mark then talks about the thesis behind the Orphans, supported by research from hedge fund legend Cliff Asness along with more input from Damodaran.
Mark also discusses the performance of the ESG Orphans on multiple time horizons beating most everything else from value to midcap to SPY/QQQ to competing “anti-ESG” funds.
Lastly, Mark discusses suitability and what kinds of portfolios the Orphans complement.
- It’s working
- Smart guys support the concept
- Results are great so far
- ESG backlash will continue henceforth
- At year-end, retail and RIA will compare returns and ask, “What do I own in ‘ESG’ funds and why?” as fees are high, returns are low, and objectives have failed in traditional ESG funds