The rise of AUM in ESG investment has been striking over the past decade. However, since ESG is inherently individual value based, there has been a variety of ESG investment approaches, each appealing to a different segment of ESG investors. In this paper, PanAgora put forth a framework that unifies the currently popular approaches to create ESG portfolios that generate both above benchmark alpha and measurable, beneficial social or environmental impact.

The Harvard Law School Forum on Corporate Governance and Financial Regulation posted PanAgora’s George Mussalli and Mike Chen’s paper “Integrated Alpha: The Future of ESG Investing.”