Soaring Energy Stocks Take Big Toll On UK SI Strategies

A lake in the shape of a rising graph in the middle of untouched nature symbolizing the growing interest in ecology and nature conservation. 3d rendering.


By Marlies van Boven, PhD, and Alberto Allegrucci, PhD, Global Investment Research

Despite their historically high correlations and low tracking errors, Sustainable Investment (SI) index returns in most markets have strayed quite markedly from those of their respective benchmarks over the

Equity benchmarks and Sustainable Investment indices* (TR, LC %) – 2022

UK SI index relative returns vs the FTSE UK – 2022

Industry weights and contributions to YTD returns (TR, LC %) – 2022

Global Energy sector returns (rebased, TR, LC) vs crude oil price (USD, RHS)

UK SI indices – Active industry weights and allocation effects – 2022 (TR, LC %)

Brent oil futures settlement price curve (USD)

FTSE UK 12-month-forward P/E multiples

FTSE UK 12-month-forward dividend yields (%)