Only 39% of investors invest sustainably-largely because they just aren’t clear about what it is, and how it can make a difference. Here, we break it down for you with what you need to know about sustainable investing to get started and make a difference.
What is sustainable investing?
It’s a way to invest for the returns you expect while staying true to your values. That’s whether you care about a cause, driving social change, or how a company or country conducts itself.
Three main ways to invest sustainably:
Exclude companies and industries that don’t reflect your values from your portfolio.
Integrate environmental, social and corporate governance factors into your portfolio to improve your returns and reduce your risk.
Invest with the intention to generate measurable environmental and social impact, alongside a financial return.
Myth vs. reality
You sacrifice performance
You can’t measure the impact
You need to be an expert
Why should you invest sustainably?
Overheard at the WEF: Wendy Woods, BCG and James Chin Moody, CEO Sendle, talk about how corporations that do well on ESG, outperform their peers,2 and how you can be good for business and good for the world.
Who’s investing sustainably?
The young and the wealthy lead the way1