A new academic paper from the Mistra Financial Systems program at Stockholm School of Economics investigates whether asset owners can meet ethical objectives through an exclusion based strategy without compromising financial returns. The study empirically analyses the exclusion of companies from investors’ investment universe through a time series analysis of performance implications of the exclusion decisions of two leading Nordic investors, Norway’s Government Pension Fund-Global (GPFG) and Sweden’s AP-funds. The authors are Andreas Hoepner and Lisa Schopohl from Henley Business School, one of the research institute partners in the Mistra Financial Program.

“It is highly unlikely that simple industry exposure in terms of over-weights, under-weights or even exclusion have a material financial impact in 21st century markets”, says Andreas Hoepner, Associate Professor of Finance at Henley Business School.

“The results were not what we expected”, says Lisa Schopohl, PhD candidate at ICMA Centre at Henley Business School.

Read the full paper here.

For more info:

Andreas Hoepner, a.hoepner@icmacentre.ac.uk, +44 (0)118 378 8239

Lisa Schopohl, l.schopohl@icmacentre.ac.uk +44 (0)118 378 4383

Cecilia Repinski, program manager Mistra Financial Systems, Cecilia.Repinski@hhs.se Phone: +46-8-736 9739