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An Innovative Flexible Investment Vehicle Oriented to Sustainability – The Adaptation of Hedge Funds in the Case of Emerging Markets

In: Proceedings of the ENTRENOVA - ENTerprise REsearch InNOVAtion Conference, Virtual Conference, 10-12 September 2020

Author

Listed:
  • Prelipcean, Gabriela
  • Boscoianu, Mircea

Abstract

The problem of investments oriented on sustainability in emerging markets is actual and complex and should be carefully analysed in order to offer the optimal strategies. The sustainable investments based on ESG (environmental – social - governance) criteria could better respond to the global market drivers (the interest on environmental concerns, the spectral dynamics of energy prices, the speed of technological change) with impact on the design of new business models. The interest is to find an effective and efficient strategy and a vehicle capable to mobilize a critical mass of investment funds oriented in sustainability in the new context of Industry 4.0. The proposal to introduce socially responsible investment funds (SRIF) as a new investment area and hedge fund, as the structure of alternative investments in emerging markets is an absolute novelty for Romania, in the context of a capital market that only in 2020 it move to emerging market status. Putting into practice through effective implementation is possible considering specific adaptation elements presented in this proposal.

Suggested Citation

  • Prelipcean, Gabriela & Boscoianu, Mircea, 2020. "An Innovative Flexible Investment Vehicle Oriented to Sustainability – The Adaptation of Hedge Funds in the Case of Emerging Markets," Proceedings of the ENTRENOVA - ENTerprise REsearch InNOVAtion Conference (2020), Virtual Conference, in: Proceedings of the ENTRENOVA - ENTerprise REsearch InNOVAtion Conference, Virtual Conference, 10-12 September 2020, pages 493-503, IRENET - Society for Advancing Innovation and Research in Economy, Zagreb.
    • Handle: RePEc:zbw:entr20:224715
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    References listed on IDEAS

    as
    1. Zheng Sun & Ashley Wang & Lu Zheng, 2012. "The Road Less Traveled: Strategy Distinctiveness and Hedge Fund Performance," The Review of Financial Studies, Society for Financial Studies, vol. 25(1), pages 96-143.
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    3. Gabriela Prelipcean & Mircea Boscoianu, 2020. "Risk Analysis of a Hedge Fund Oriented on Sustainable and Responsible Investments for Emerging Markets," The AMFITEATRU ECONOMIC journal, Academy of Economic Studies - Bucharest, Romania, vol. 22(55), pages 653-653, August.
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    Cited by:

    1. Elhassan Tomader, 2023. "Economic and Environmental Sustainability through Trade Openness and Energy Production," Business Systems Research, Sciendo, vol. 14(2), pages 102-123, December.

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    More about this item

    Keywords

    innovative investment vehicle; socially responsible investment funds (SRIF); hedge fund in emerging markets (HF-EM); active risk management;
    All these keywords.

    JEL classification:

    • O16 - Economic Development, Innovation, Technological Change, and Growth - - Economic Development - - - Financial Markets; Saving and Capital Investment; Corporate Finance and Governance
    • G23 - Financial Economics - - Financial Institutions and Services - - - Non-bank Financial Institutions; Financial Instruments; Institutional Investors
    • G24 - Financial Economics - - Financial Institutions and Services - - - Investment Banking; Venture Capital; Brokerage
    • Q01 - Agricultural and Natural Resource Economics; Environmental and Ecological Economics - - General - - - Sustainable Development

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