Many of our clients are interested in driving positive change in the world by investing in progressive companies and strategies while also generating attractive financial returns. That’s why we created our forward-looking Environmental, Social, and Governance (ESG) portfolio.
With ESG investing, we pay close attention to factors like sustainability, corporate transparency, equity, environmental impact, diversity, and inclusion. Where many firms simply exclude companies that violate these principles, we go further. We seek out opportunities for you to participate in high-impact, fast-growing segments of the world economy.
Here’s more of what you can expect from ESG.
ESG is the future of fundamental analysis
As the world changes at warp speed, applying ESG principles may help you protect against new and future investment risks. It may also help you identify emerging economic trends and enhance long-term returns.
A company that looks attractive using traditional analysis may look riskier when viewed through our ESG lens. For example, if a potential investment has an outsized environmental footprint, or substandard privacy protections. These new factors can reduce their value in the eyes of the public, and in an investor’s portfolio.
Socially conscious investing is going mainstream
Socially conscious investing has been around for decades but it has grown rapidly in recent years. ESG global assets are expected to reach $50 trillion by 2025, accounting for one-third of the projected total assets under management globally.1 A new age of responsible investing is here.
Avoid sacrificing performance for ethics
ESG may provide the best of both worlds. 35% of investment professionals invest in ESG to improve their financial returns.2 A full 77% say they believe ESG factors play a role in a company’s broader financial performance.3 Strategic ESG investing allows you to invest in your personal values. It also plugs you into exciting economic opportunities around the world.
Be part of a global movement
Our Westmount ESG managers align with the United Nations Sustainable Development Goals, a global framework adopted by the U.N. General Assembly. The U.N.’s objective is to guide investment that addresses humanity’s most pressing issues — poverty, inequality, climate change, environmental degradation, peace, and justice. By making ESG-oriented investments, you can be a vital contributor to this initiative.
The stories of positive change are inspiring
With ESG, financial performance is only part of the equation. As a socially conscious investor, you also want to know about the real-world impact your investments are making. Every quarter, we recap the most inspiring stories from across the portfolio. You can see the latest update here.
LEARN MORE.
Do you want to invest in a sustainable future? Contact us today to set up an introduction. You can also sign up for our quarterly ESG manager updates here.