If you invest in stock markets to reach your long-term goals, then you want to invest in companies that take a long-term view.
For responsible investment managers, a long-term view includes a commitment to strong performance on environmental, social and governance (ESG) factors.
Like all investors, they want to invest in industry leaders that build shareholder value.
But their assessment of leadership is more rigorous than most. It includes all the usual metrics of financial strength. And it also includes assessments based on ESG criteria, such as respect for environmental laws, fair treatment of workers, and commitment to best practices of corporate governance. The best companies to invest in, they believe, have business models that prioritize good performance on financial and ESG measures.
The soundness of this investment approach is supported by research. It stands to reason that companies which are good ESG performers are better performers on other measures. They are more efficient and less wasteful. They are more respected and better able to build brand equity. They enjoy higher employee commitment and better productivity. And, when combined with other top ESG performers in an investment portfolio, they are better able to mitigate long-term risk for investors while providing enhanced return opportunities.
Are you among the growing majority of Canadian investors who want to earn competitive financial returns while impacting and influencing people and the planet? If so, contact my office to book some time to review the many high-quality investment options available to you.
Book an appointment with me 250-787-0365 and let’s talk.