Institutional investors

Integrating Environmental, Social and Governance (ESG) issues: Russell's manager research and sustainable financial value January 2011 Will Pearce Senior Research Analyst Mike Clark Director, Relationship Management and Chair, Sustainability Council Investors are showing an increasing interest in ESG issues. That interest varies by country and by type of investor, both in its intensity and in the way the interest is expressed. In response to this interest, Russell became a signatory of the United Nations Principles for Responsible Investment in September 2009, committing to "incorporate ESG issues into investment analysis and decision-making processes". In this paper we discuss: How Russell interprets ESG issues and how that influences our manager research The difference between a values-based approach (based on an investor's unique beliefs) and the concept of sustainable financial value (based on the integration of ESG issues within the standard financial framework) How the distinction between values-based approach and sustainable financial value can help inform an investor as they seek to specify their objectives. Request this research A note about our research Our proprietary research is made available to our institutional clients, and many of these published papers are available to other institutional investors as well. If you are not a Russell client, but are an institutional investor, we welcome you to request this research piece. We only require your contact information on a short request form. For more information about our research, please contact David or Gerry:     West Coast David Rothenberg Managing Director 866-926-5934 East Coast Gerry Lillis Director 866-459-4128 Nothing contained in this material is intended to constitute legal, tax, securities, or investment advice, nor an opinion regarding the appropriateness of any investment, nor a solicitation of any type. The general information contained in this publication should not be acted upon without obtaining specific legal, tax, and investment advice from a licensed professional. Russell Investment Group is a Washington, USA corporation, which operates through subsidiaries worldwide, including Russell Investments, and is a subsidiary of The Northwestern Mutual Life Insurance Company. Date of first use: January 2011 USI-8944			Printer friendly version of this page