It is widely accepted that action needs to be taken to protect and sustain our natural environment for future generations. As far as investing – there is without doubt a growing portion of the population consciously seeking to incorporate environmental, social and governance (ESG) factors to their investment strategy. 

Where it was once the view ESG investing meant “exclusionary,” ”poor performance,” and “only for the idealist” think again.  Today – there’s as much emphasis put on returns as on doing good. This said, it would be disingenuous for an investor to think ESG but driven by investment returns. So; you’ll need to be clear whether you’re a truly sustainably minded or returns driven investor.

ESG investing does follow the broad theory of investment, for example; determine an asset’s intrinsic worth, asset allocation and diversification but also incorporates environmental, social, and governance risks into the investment process. This means carefully assessing and evaluating the investment impact on such things as: 

  • Quality Education
  •  Clean Water and Sanitation
  • Climate
  • Affordable and Clean Energy
  • Industry Innovation and Infrastructure
  • Responsible Consumption and Production
  • Sustainable Cities and Communities

The 2030 Agenda for Sustainable Development, adopted by all United Nations Member States in 2015, provides a shared blueprint for peace and prosperity for people and the planet, now and into the future. At its heart are the 17 Sustainable Development Goals (SDGs), which are an urgent call for action by all countries – developed and developing – in a global partnership. They recognize that ending poverty and other deprivations must go hand-in-hand with strategies that improve health and education, reduce inequality, and spur economic growth – all while tackling climate change and working to preserve our oceans and forests”.