SIF 2022: Fidelity's Salter on why engagement versus exclusion is the way forward

Speaking at the Sustainable Investment Festival this morning (11 July), Salter said the exclusionary approach to sustainable investing does not work as well as engagement, arguing that the theory that exclusion will raise the cost of capital for issuers doesn't hold to the extent that it needs to.  "Now, asset managers cannot engage into perpetuity because engagement into perpetuity is permission to hold a security forever," he said. "We need to hold ourselves to account on that engagement activity with huge amounts of data and transparency." SIF 2022: Article 9 fund flows hold up in ...