Three ETFs Merging Strong Returns with ESG Objectives

Written by Emily J. Thompson, Senior Investment Analyst

Source: Marketbeat

Updated: 22h ago

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Source: Marketbeat

ESG Investment Trends: Environmental, Social, and Governance (ESG) principles are increasingly becoming a major consideration for investors, particularly as climate change and geopolitical issues gain prominence. PricewaterhouseCoopers predicts that ESG will dominate exchange-traded fund (ETF) launches.
Diverse ESG ETFs: ESG-focused ETFs allow investors to prioritize sustainability without managing compliance for each firm. However, the performance of ESG investments is compelling only if they also deliver strong financial returns.
Comparative Performance: The EASG ETF has shown impressive returns of 28.5% over the past year, alongside a competitive dividend yield of 4.11%. In contrast, other ESG ETFs like NUDM have demonstrated even higher returns, suggesting a competitive landscape.
Liquidity Concerns: While EASG offers a diversified portfolio, it has relatively low assets under management, raising liquidity concerns for investors. In comparison, NUDM has a stronger performance record and higher liquidity, making it an attractive alternative for investors seeking ESG-focused options.

About the author

Emily J. Thompson

Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.