Money over everything...?
SRI refers to investment approaches that apply social and environmental criteria when evaluating companies.
How it works:
Investors will create a scoring system based on criteria relating to social impact
Investments are usually made considering the environmental, social and governance (ESG) aspects of a company.
Excluded companies are dictated by the goals of the investor, some may want to avoid weapons companies where as others could want to support companies that do not pollute excessively.
$12 trillion market in 2019, or about $1 of every $4 investing in SRI
UN’s Principles for Responsible Investment (PRI) has >3,000 signatories & $90 trillion
Green bond & loan issuance $360 billion globally in 2019
BlackRock predicts ESG funds to rise >$400 billion over the next ten years
Unique tools are being created $25 million water bond for Washington, D.C. in 2016
90% of millennials want to invest retirement savings sustainably (Morgan Stanley)
75% of savers say they want SRI choices (Natixis)
75% of millennials consider company values (Sustainable Brands, Nielson)
Source: HBR: The State of Socially Responsible Investing
