THERE’S one thing we all have in common – we all share the one planet and we all have a responsibility to look after the place we call home.
It’s not just about individuals taking action around the home, albeit greening your home is a responsible thing to do, it’s about Governments doing the right thing, businesses acting sustainably, investors putting their money where their heart is, people influencing others to do the right thing and it’s about embracing innovation.
As a family looking to live a sustainable lifestyle you might switch to green energy at home, drive an electric car, grow your own fruit and vegetables, harness rain water, limit the amount of power you consume, educate children in the process and shop as local as possible.
Sustainable Investing
Governments are looking to the United Nations 17 Sustainable Development Goals (SDGs) and implementing green economy policies, practices and initiatives.
An investor seeking to put money in a project or organisation will seek out opportunities with people who share their values.
Sustainable businesses will use suppliers which are proud of their green credentials.
Collectively, we need to have behaviours in place so we can deal with the present needs without being detrimental to the needs of the next generations.
Over the last number of years, our Worldwide Financial Planning wealth and asset managers have seen a change in the types of opportunities available for our clients. We have also seen a change too in mindsets when it comes to ‘why’ people feel their money should be invested in certain companies, funds and organisations.
Why is Sustainable Investing Important?
Opportunities are changing. The world is changing and investors’ eyes are opening to the realms of the endless possibilities which come with such monumental changes.
Millennials, and Gen Z, are certainly not backwards about coming forwards in seeking investment opportunities. Their buying power is clear. Millennials, like all sustainable investors, want to invest in alignment with their own values and beliefs. These are young, ambitious people who we all see building their own personal brands on social media platforms. They are people who are poised for inheritable wealth, they are earning more, saving more and are investing earlier than any generation which has gone before.
Sustainable investing incorporates environmental, social and governance factors into investment decisions across a variety of sectors – this could be climate change initiatives, renewable energy, harvesting seaweed, ocean and beach clean-ups and sustainable community projects. The list is endless. These investors want to make a difference and they’re willing to put their money where it matters to them.
Deeper Connections
There’s so much more than a feel good factor to sustainable investing. Sustainable investing opportunities enables firms to capture financial returns for clients but it also creates deeper connections between the investors and their habits while creating a longer term and more sustainable relationship with their customers.
The place we call home is changing all of the time and it’s only right that we adapt to make changes in how we look after planet earth. The UN predicts that by 2050, the global population will be 9,735,033,900. It believes two thirds of this growth between 2020 and 2050 will take place in Africa. Demand globally for food, water and energy will drive the need for innovation. Infrastructure will need to change, clean water and sanitation, improved healthcare, energy generation, more efficient and greener transport systems are just some of the potential opportunities for green thinking investors. The opportunities for strong financial performances tied with values based investing is attractive to all investors regardless of age. Millennials are showcasing their investments all over their social media platforms to their hundreds of thousands, if not millions, of followers.
Innovations
As we all adapt to sustainable investing, there’ll be many changes ahead of us all, culturally, in terms of lean processes and embracing innovations and technology.
If you think sustainably and want to align your investments with your values, ethics and beliefs, speak to our team of experts. Get in touch by emailing info@wwfp.net and we’ll help you to make smarter, greener investment choices.