Today we are joined by Matt Egerton, analyst and portfolio manager, and Andrew Hall, equity research associate, to talk about opportunities in ESG and renewables. Andrew says that there has been a great level of awareness and commitment to renewable goals of late. Also, recognition that solar technologies are more economically competitive with traditional fossil fuels than ever before. Matt says that it is about understanding where the opportunities are, and being diversified with the approach, instead of just following the “hot areas” in ESG. When discussing whether ESG is inflationary, Matt says that ESG has seen elements of inflation which is a reminder of the challenges in the transition. However, there has not been much pushback and everyone is on board, however, it will differ from country to country. Lastly, when asked about whether certain industries should be excluded from investment portfolios that may have exploitive practices, Matt says that Fidelity has taken an engagement rather than exclusion approach to this. Bringing companies closer, having robust conversations and having that partnership approach is what Matt believes will help us get to where we need to be in the end.

Recorded on November 10, 2021.

Transcript (PDF): https://www.fidelity.ca/cs/Satellite/doc/transcript_podcast_egerton_hall_10nov.pdf