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Sustainable Investing 101



The facts are undeniable: Retail investors’ interest in sustainable investing strategies is growing. As of 2018, the retail share of the $30.7 trillion invested in sustainable strategies worldwide was 25%, up from 12% just six years earlier. Sustainable investing is increasingly mainstream and is growing in importance to individual investors and the financial advisors who guide them(1). 

The issue of climate change has always been very important to me.  I am an avid outdoorsman and love being outside in nature.  I want to make sure that my children, their children and their future generations all are able to enjoy the benefits to our great outdoors as I did! 


Through these posts I hope disentangle the complicated web of vocabulary used to describe sustainable investing and clarify the fundamental concepts buried underneath the terminology.  

I describe sustainable investments as investments made with the intention of generating positive environmental, social, and governance (ESG) impact alongside a financial return.  


Investors commonly use sustainable investing to pursue two overarching goals:  


#1.) To protect and enhance long-term financial value through addressing ESG risks or investing in solutions to environmental and social challenges.  


#2.) To protect, enhance, or otherwise positively impact the long-term health of the environment or society through expressing ESG values. 
 
I would love to know if you feel that your values are adequately represented in your investment portfolio and what values are important to you. 


For 25 years I have helped families achieve their financial goals!  


Please contact me at (734) 725-2119 or cyril.white@fourfinancial.com if you have any questions or if there is anything we can assist you with!  


This material is for general information only and is not intended to provide specific advice or recommendations for any individual. There is no assurance that the views or strategies discussed are suitable for all investors or will yield positive outcomes. Investing involves risks including possible loss of principal. Any economic forecasts set forth may not develop as predicted and are subject to change.  All information is believed to be from reliable sources; however, LPL Financial makes no representation as to its completeness or accuracy.  The opinions voiced in this material are for general information only are not intended to provide specific advice or recommendations for any individual.   

Socially Responsible Investing (SRI) / Environmental Social Governance (ESG) investing has certain risks based on the fact that the criteria excludes securities of certain issuers for non-financial reasons and, therefore, investors may forgo some market opportunities and the universe of investments available will be smaller.  


Securities offered through LPL Financial.  Member FINRA/SIPC 


(1) Global Sustainable Investment Alliance (GSIA) (2019). 2018 Global Sustainable Investment Review 

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