Sustainable investing

/Tag: Sustainable investing

How do you measure the ‘sustainability’ of an investment?

Sustainable investing has come a long way, with more than a quarter of assets under management globally now being invested with consideration of environmental, social and governance (ESG) factors. While sustainable investing was long considered a niche in equity investing, the launch of the United Nations-supported Principles for Responsible Investment (PRI) in 2006 was a

Sustainable Investing

There can be little doubt that public interest in matters of importance such as climate change, sustainability, the environment and conservation is on the rise – and sharply so. You just have to take a look at the TV or listen to the news and you’ll see it right there in front of you. Whether it’s the

There’s an Untapped Market for ESG Investing

Some research may lead plan sponsors and advisers to believe only Millennials and women are most interested in sustainable investing, but research from Morningstar finds most investors, across ages and genders, have clear preferences for environmental, social and governance (ESG) investment products. Morningstar developed a new tool, called My Sustainability Profile. The tool is designed to reveal

Trump creates positive effect on socially responsible investing

Donald Trump’s surprising ascent to president of the United States has brought many unexpected effects to the financial markets. Ironically, one has been a rapid increase in interest and adoption of impact investing and other types of values-based investing. Impact investing, or values-based investing, is a type of investing that helps people and/or organizations align

As demand for ESG investing grows, so too does the need for high-quality data

Climate change has already begun to affect business, with extreme weather, flooding, wildfires and drought threatening company assets and supply chains. As the environment evolves, companies that improve their energy efficiency and create new products and services will survive and companies that are slow to change will struggle. The financial services community is keenly aware

Impact investing is shaping the future of the world

For almost 50 years, Earth Day has been recognized as the largest civic-focused day of action in the world. Since April 22, 1970, Americans have sought out ways to be stewards of the environment through planting trees, riding a bike to work, or cleaning up a community garden. While these actions are admirable, other strategies

Why Hasn’t Sustainable Investing Gone Viral Yet?

With Leonardo DiCaprio raising awareness on climate change, Emma Watson advocating for gender equality and Matt Damon co-founding a company to address water scarcity, sustainability has gone mainstream. So what has prevented this movement from extending further into the financial markets? Let’s first look at what sustainability looks like in financial terms. In sustainable investing,

Socially discerning investing can bring both monetary and ethical rewards if done right

Under its various identities, sustainable, responsible, impact investing is growing rapidly as more people seek to align their personal values with their investments. According to the U.S. Forum on Sustainable Investing, investors now emphasize social and environmental issues across $12 trillion of professionally managed assets. This represents a 38% increase since 2016. Approximately one out

How to relax and learn to love sustainable investing

Sustainable investing, SRI, ESG, green funds… the jargon used to describe the concept of investing using ethical and sustainability considerations continues to grow, and with it so does the confusion around the topic. Experts themselves often struggle to provide clear definitions and terms are used interchangeably, making this area a minefield for investors. Lee Qian,

From SRI to ESG, values-aligned investing has many names. Let’s decode the lingo

Values-aligned investing is called by many different names, which are commonly misused or misunderstood by investors. Let me decode the lingo, because a shared understanding of the terminology makes this type of investing more accessible to advisors and investors alike. Please note that there are no universally agreed upon definitions among professionals, and everyone uses

Sustainable investing can be unconstrained rather than restrictive

The evolution of envi­ronmental, social and governance (ESG) measures over the past 30 years has enabled a broader opportunity to under­stand the long-term sustaina­bility of global companies. In particular, over the past five years, the harmonisation and reliability of available ESG data has improved to the extent that fund managers can now assess the alpha

Why it makes sense to invest in companies with a healthy gender balance

Sustainable investing – where investors focus on socially conscious investments that aim to build a better world – has been gaining traction over the past few decades. In 2016, one dollar in every five was invested ethically, totalling $8.7 trillion (Dh31.95tn), according to the SIF Foundation, the Forum for Sustainable and Responsible Investing based in

The Continued Growth of Sustainable Investing

With $12 trillion now invested in the United States, sustainable investing is not just a trend, it's becoming part of the fabric of investing. That's my take after reading the Report on U.S. Sustainable, Responsible and Impact Investing Trends 2018, just released by the US SIF Foundation. At the beginning of the year, according to the

Don’t Just Vote For Change, Invest For Change

You voted. You may have knocked on doors, wrote postcards, made phone calls and donated money. You were committed to making a difference in your district or your state. Here’s another area where you can make a difference: your investment accounts. Your investments can be a powerful way to support the issues that matter to

Why it’s now easy being green in the bond world

I've written before about recent developments in fixed income sustainable investing, such as the increasing availability of ESG-focused bond indexes. Today I want to talk about a lesser known segment of the sustainable market: green bonds.  And once again I wanted to invite in one of BlackRock's experts to help me explain the topic.  Please join me

Does Impact Investing Have A Data Problem?

Interest in investing in environmentally and socially responsible companies has surged in recent years, in part because of the tastes of purpose-minded millennials—but also because there’s mounting evidence that these companies are, in fact, better investments. That’s good news for the planet, but a more sustainability-minded financial system is hardly a given. A panel of

US Investors Slow to Adopt Sustainable Investing

The U.S. has the lowest adoption rate of sustainable investing among 10 major markets at 12% of investors, compared with 39% globally, according to the latest edition of the UBS Investor Watch report. China, Brazil, the United Arab Emirates and Italy lead the charge, with 60%, 53%, 53% and 51% of investors, respectively, reporting sustainable investment

Sustainable investing is attracting strong support

Sustainable investing is experiencing strong demand from investors as sustainability themed investments start to demonstrate outperformance over traditional non-sustainable assets. This is coupled with increasing demand from Millennial investors looking to align their choice of asset classes with their environmental and social values, and with long-term trusted fund managers. The combination of both profit and

Hurricane Florence Hands a Megaphone to Supporters of Sustainable Investing

As Hurricane Florence made landfall and followed a path projected to move across the Carolinas on Friday, advocates of sustainable investing sought to draw renewed attention to climate change and the benefits of aligning capital to combat a warming planet. Climate change has long been a major theme for advocates of so-called ESG investing, which incorporates environmental,