According to the results of Inyova’s impact index, presented by Andreas von Angerer (photo) and James Crawshaw, one in three investors still chooses the theme “Pandemic Control”.
- Fewer and fewer investors exclude gas and coal from their portfolios
- In the top 10 preferred companies, there are more than 80% of stocks that are in renewable energy
- One in three investors still chooses the “Pandemic Control” theme[1]
- Learning Technologies Group (LGT) separates from its nuclear weapons joint venture after a brief period of collaboration
Inyova, a digital platform dedicated to impact investing, has announced the results of its impact index. Published quarterly, the Impact Index presents the key themes and companies investors are interested in when it comes to sustainable investing.
The number of impact investors who excluded the “coal or gas” theme from their portfolio remained at a level significantly lower than before the Ukraine war. “This is probably explained by the social debate on whether and when investments in coal and gas are necessary, on a transitional basis, in order to reduce dependence on Russian energy resources”, explains Andreas von Angerer, Head of Impact. At the same time, interest in securities from the renewable energy sector is still growing. In the top 10 companies preferred by investors, 80% now come from this sector. SunPower took the biggest leap forward, rising to 10th place. Siemens Gamesa Renewable Energy, a popular stock, had to be removed from the universe as it was acquired by Siemens Energy. “Siemens Energy’s fossil fuel share is currently too high to fit into the Inyova universe, especially when compared to other companies. But it would certainly be a good starting point for discussion in a dialogue about commitment”, continues Andreas von Angerer.
Reduced investment in the fight against the pandemic
Although the number of infections has been at a medium to high level since the start of the year, the share of investors who want to take action against the pandemic, through their investments, has fallen to 31%. Barely one in three people owns companies that work, for example, on the development of vaccines, drugs or the like. The situation was markedly different at the start of the pandemic in the second quarter of 2020, with 47% – or almost half of investors. Over the past two years, interest in the “Pandemic Control” theme has continued to decline, except for the jump to 43% observed in the 4th quarter of 2021, regardless of the presence of the vaccine. “The Omicron variant seems to have once again created uncertainty, especially due to reports from Great Britain or South Africa,” says James Crawshaw, who regularly assesses the more than 50,000 data points. . “What also surprised us was the proportion of men who was significantly higher than that of women during the pandemic,” continues James Crawshaw. Today, only 24% of male investors have the theme “Pandemic Control” in their portfolios, compared to 37% of women.
LTG ends nuclear weapons joint venture after just six months
After being unexpectedly excluded at the beginning of the year, the company Learning Technologies Group (LTG) was able to be reinstated in the investment universe of Inyova. The reason for the exclusion was LTG’s acquisition last October of an e-learning company that also offered, through a joint venture, testing technologies for missiles and nuclear warheads. “Our team immediately contacted LTG who stated that the company had no concrete plans to withdraw from this harmful activity. We then rebalanced all portfolios containing this stock using our rebalancing engine. personal impact,” says von Angerer. Today, LTG ended the collaboration and sold its shares. “We can imagine that the pressure exerted by active investors was decisive. Overall, we were positively surprised by the speed with which LTG acted.”
Top 10 favorite companies
- Nibe Industries AB
- Vestas Wind Systems A/S
- EDP Renovaveis SA
- SMA Solar Technology AG
- Nordex SE
- First Solar Inc
- Tomra Systems ASA
- Corbion NV
- Verbund AG
- SunPower Corp