Environmental, social and governance (ESG) is the latest shiny
toy in the investment fund universe, displacing even blockchain as
the main focus of attention. This is not as novel as it may seem,
and while the specific focus on environmental issues may be new,
the social and governance aspects are not.
ESG has evolved out of precursors such as CSR (Corporate Social
Responsibility) and SRI (Socially Responsible Investing) that have
been around for decades, each responding to actual or perceived
investor demand. This Article looks at how the governance element
of ESG is reflected in the evolving governance requirements for
Cayman Islands funds.
To some, the awakening of the alternative investment fund (AIF)
industry to ESG seems like a Damascene conversion, probably driven
by the arrival of snowflake millennials within the ranks of
investment allocators. But by seeing ESG as the latest development
in a longer term trend, and taking account of the
institutionalisation
