This is a multifaceted topic, and we can’t possibly express everything we feel about sustainable investment in a single article. But we want to lay some groundwork for investors by making two statements and explaining ourselves in a chart.
- Sustainability as a concept is both a return generator and a risk management tool. To date, many investors have been more comfortable thinking about sustainability in terms of risk than return, but we are convinced that it can’t be one without the other.
- Sustainability is both a long-term and a short-term concept. Again, to date investors have been more comfortable thinking about sustainability as a long-term concept, but we are convinced that from an investment perspective (the perspective we take) it is also a short-term issue. We tried to capture this idea in a note we posted earlier in the year.
Now, as promised, we explain ourselves in a chart.
Sustainability is a multi-faceted and dynamic investment concept. Thoughtful allocation of capital can: increase financial returns, decrease financial risk, meet long term goals, meet short term goals, and make the world a better place. Hence our passion for sustainable investing. You’ll be hearing much more from us on the topic.
To the pound 