The Impact of ETF Investing

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Type and Duration

FFF-Förderprojekt, December 2021 until November 2022 (finished)

Coordinator

Chair in Business Administration, Banking and Financial Management

Main Research

Wealth Management

Description

The research project at hand sets a focus on the comparison of sustainable ETF investment funds and its real world impact related to the Sustainable Development Goals (SDGs). While financial performance is critical for investors and asset managers during the investment process and for its management, a variety of additional factors are identified as equally important to achieve in-vestments’ ultimate goals and optimize portfolio performance while having positive societal and environmental effects (GIIN, 2020, p. 5). As most investors are restrained from achieving SDG-related impact by individually designed investment products, ETFs could provide a standardized opportunity at low cost for institutional and individual investors. However, due to the unclear impact measurement standards across the industry, it is quite complicated to differentiate prod-ucts and create adequate benchmarks.
Hence, the main objective of the project is to investigate which criteria define sustainable ETFs and, further, assess the SDG-related impact ETFs currently deliver.

Principal Investigator

Project Collaborator