Investors are watching conflict in the Middle East closely as inflationary pressures begin to build beneath the surface. One of the challenges for many investors is reduced exposure to the hedging benefits of fossil fuels in listed, and private markets.
The empirical results of academic studies indicate that both engagement and divestment approaches can be effective in achieving desired ESG outcomes. So, far from being mutually exclusive, both engagement and divestment are mutually reinforcing.
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