If you are wondering what you should be investing in, you are in the right place! In our previous article, we discussed whether ESG investing would be the next big thing. It may be here for the long run if it is guided by the sustainable frameworks and aligned asset allocation. Despite the difficulty in assigning a monetary value to some components (e.g. the cost impact of employee turnover), it is still beneficial to add ESG investing into your investment strategy.
As the younger generation of investors are expressing interest in placing their money where their values lie, companies are moving towards generating a positive environmental impact. As such, Exchange Traded Funds (ETFs) and other financial products focused on ESG investing have been offered by mutual funds firms and brokerage firms.
Before we discuss and evaluate the opportunities, here is a brief recap of what ESG investment is....