The same logic also naturally applies to ESG funds. If a manager is known to outperform because of their superior use of ESG information then, on average, you can expect their fees to rise to reflect this and to neutralize the benefits to incoming investors to the fund.
Great to see this discussion happening! As a practitioner and researcher who has been thinking about these issues for a while I am still highly uncertain about what conclusions we should make about impact investing (II). So the more thoughtful discussion on this the better.
I have some general comments on this space & EA-bias and also some specific follow-up questions.
In the SRI/ESG/II space there is so much variety that a lot of the time people are talking past each other because they aren't talking about the same thing. So, one way for those who ...
"I have yet to see the case that investing through the stock market has anywhere near as much impact as donating to effective nonprofits." - where do you believe the post claimed otherwise?