News

Tasmanian eco-tech firm Sea Forest is making huge strides in its quest to use a unique Australian seaweed to combat climate change by reducing methane emissions from cows. The plan has huge environmental and commercial potential, its chief scientific officer says – government policy just needs to catch up.

ESG investment strategies are at their highest-ever penetration rate, with 90 per cent of global investors now on board, according to a new survey. And while greenwashing and data disclosure concerns remain, sustainability-minded investors are coming up with their own solutions for these challenges.

Most Australian financial professionals are now using smart beta ETFs and other passive investments in their clients’ portfolios, a new VanEck survey shows, continuing a three-year trend away from active management approaches.

Australian companies are poised to play a key role in the clean energy transition, with major projects in critical minerals emerging to meet new demand for rare earths elements. Here are four ASX stocks likely to benefit from the new mining boom.

Australian companies’ dividend payouts are down 24 per cent from a year ago, as higher interest rates and cash flow challenges darken the outlook. Payouts from miners decreased significantly, although the dividend picture remains positive for banks.

While many sustainable funds use negative screens to avoid stocks with poor ESG scores, Martin Currie’s Naomi Bant says engagement with companies that can provide a net benefit to society leads to better investment and sustainability outcomes.

Emergency services workers and pharmacists are perceived as the most ethical professions in Australia, and real estate agents the least ethical, the Governance Institute found in its annual ethics check. It also noted a stark rise in the importance of ethics among Australians.

In addition to falling for the ‘big market delusion’ that competitors won’t emerge and current performance expectations are rational, investors are also overplaying Nvidia as a ‘safe’ hand in the AI game, according to a new research paper.

The bill would require any future legislation affecting superannuation to comport with the objective of preserving savings “to deliver income for a dignified retirement, alongside government support, in an equitable and sustainable way”.

The best Asian private equity funds often outperform their developed-market counterparts, with less underlying leverage and more growth potential. Several structural tailwinds also support opportunities for the right PE strategies in Asian markets, says Morgan Stanley.

One of the most surprising outcomes from the better-than-expected August reporting season was the strong performance of consumer discretionary retailers, as Australians continued to weather higher interest rates and inflation better than many analysts had feared.

“Like a good wine, the best vintages in private markets often come from challenging environments,” Franklin Templeton’s Tony Davidow says, predicting the recent dysfunction markets have endured could mean a strong vintage year for private equity.