Lisa Goldberg and Jeffrey Bohn to give talk, "Should ESG be Embedded as a Risk Factor in Multi-Factor Models?" at the CFA Fourth Annual Sustainable Investing Conference

CDAR co-director Lisa Goldberg and CDAR Affiliated Researcher/Board Member Jeffrey Bohn to give talk, "Should ESG be Embedded as a Risk Factor in Multi-Factor Models?" Talk abstract: Are new factors required to adequately describe co-movement of ESG securities, now that they comprise an established and rapidly growing market segment? To date, most commercial risk model providers have been slow to add ESG factors in their equity models. Is this due to lack of data? And what should investors understand about the current state of “ESG” as a factor – is this an alpha play right now, as many investors believe it is? How does climate change factor into these decisions and can investors profit from the lack of efficiency in modeling? A panel of experts will discuss ESG as a risk or alpha factor.