As many firms plan to backslide on the Environmental, Social Governance (ESG) commitments to reduce spending amidst a recession, UK investors are suggesting that this action might see them exit. According to a recent report, the number of British investors who are planning on walking out is now set to double, if they are unable to achieve ESG change by some other means first.
Green-minded UK consumers with an interest in ESG assets often take expert investment advice in Chester, Birmingham and other cities across the country. As specialists in portfolio management, wealth managers often help their environmentally conscious clients by constructing responsible investment portfolios that reflect specific ethics and attitudes.
As the world economy now heads towards recession, a recent research poll discovered that 86 per cent of business leaders are starting to brace for a recession in 2022. Among the subjects now seemingly destined to be put on the backburner are ESG matters, with such concerns set for a significant drop in funding. About 50 per cent of CEOs are either reconsidering or pausing their existing or upcoming ESG efforts, while 34 per cent have already undertaken such an initiative.
While companies seek to secure their bottom-lines and prepare for leaner times, such a move seems likely to be on a collision course with investors. A recent survey found that UK investors are unwilling to make compromises on ESG, with many unafraid to directly intervene with firms they feel are underperforming in the area.
