Many DFMs are launching ESG model portfolios and Charles Stanley has been one of those, having launched its responsible portfolios in April. They are managed by investment director Jane Bransgrove, who has joined us this week.

She has a chat with David Thorpe, contributing editor at FTAdviser, and Dave Baxter, funds editor on the Investors' Chronicle, to discuss the challenges of understanding what an ESG fund will do and the potential pitfalls of fund labelling.

They discuss the value of engagement versus divestment and the challenges of diversification - specifically the lack of alternative asset funds. Jane also explains why Charles Stanley is looking into creating portfolios with specific climate targets and how they are going about that.

The Asset Allocator Podcast will be taking a short summer break and will return in early September.

It is a fortnightly series aimed at discretionary fund managers, fund selectors and wealth managers, providing insight into the issues that drive investment decisions.

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