WASHINGTON—Large investment firms are increasingly focusing on sustainable investing, that considers environmental, social, and governance (ESG) factors. They seek to own shares of environmentally friendly companies, but many continue to disregard human rights risks hidden in their investment portfolios, according to an analyst. There is a “grave risk” that U.S. companies across sectors are benefiting from human rights violations in China, said Allison Gill, forced labor director at the Global Labor Justice International Labor Rights Forum, a human rights organization in Washington. Speaking at The China Forum, an annual conference hosted by the Victims of Communism Memorial Foundation on Oct. 27, Gill pointed to the apparel and textile sector, and the solar industry as the sectors most exposed to the risk of having Uyghur forced labor in their supply chains. There is an “unspoken tension” in the investment world, she said, between environmental sustainability and social sustainability, which includes human and labor …