What to know Sustainable investing allows you to implement your core values while increasing your profits. ETFs, Index Funds, and Roboadvisors are a good place to start.
Four main approaches
- Exclusionary screening - avoiding investment in companies or sectors that do not align with investor values.
- ESG integration - rating companies based on their implementation of Environmental, Social and Governance principles.
- Thematic investing - focusing investments according to interest in specific themes, for example clean energy.
- Impact investing - investing in companies or funds with the intention of generating impact alongside a financial return.
Bottom line -- Sustainable investing not only offers you a way to invest according to your values, but it also provides good financial performance and potential risk mitigation.
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The scoop A new stock exchange was approved by the SEC in 2019. It focuses on long-term sustainability. We thought it demanded more PR.
Things to know
- 87% of executives and directors feel most pressured to demonstrate strong financial performance within two years.
- If all US companies had employed long-term strategies, they would have added
- $1 trillion to U.S. GDP
- Five million jobs between 2001 and 2015
- Economic earnings for long-term firms grew on average 81% more than other firms.
Long Term Stock Exchange was founded by Eric Ries after an international tour for his NYT best-seller Lean Startup. The stock exchange uses principles-based listing standards for new companies.
Bottom line In a time in which we face unprecedented and urgent long-term problems such as climate change, racial injustice, and the threat of epidemics, it is crucial that our infrastructure supports the long-term solutions needed to tackle such complex problems.
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