Boiling Frogs

Why investor apathy makes continued outperformance likely.

October 2024 is likely to see the highest average global temperatures ever recorded. In fact, each month for the past 15 months has been the hottest on record. Yet it seems no-one, let alone equity market investors, is concerned. At some point, they will be. Meanwhile, amidst a wave of backlash against ‘ESG’, investments aligned with the steady transition of global economies towards a more efficient, electrified, digitalised, automated, circular and sustainable economy have outperformed – in fact, more consistently than the growth, value and quality factors that dominate portfolio construction.

In this year’s seminar, we consider the current trajectory of these transitions and share novel research highlighting that although progress continues to lag ambitions, it is likely to support ongoing outperformance from alignment with these changes.