The continued desire for greater disclosure by many governments and transnational entities continues to grow. In light of this expectation, we believe companies are likely to either continue to provide greater disclosure or even begin to provide ESG disclosures prior to regulatory edicts. We believe the trend towards greater ESG disclosure will continue to be spearheaded and supported by investors and management teams.
Abdur Nimeri, Ph.D., is senior investment strategist for FlexShares Exchange Traded Funds.