Within your investment portfolio you could own hundreds of companies.  Does it matter to you what kind of companies you own?  For many clients, there are matters of conscience that may come into play when deciding what to buy.  There are two areas in our industry that have gained significant momentum in the past few years.  Socially Responsible Investments and Sustainable Investments.

Socially Responsible Investments and Sustainable Investments are two of the new buzz words in investment!  Technology advancements have allowed investment managers to analyze companies on a much more detailed level and create portfolios that can more closely reflect your values while implementing sound investment strategies.

Socially Responsible Investing has been around for decades beginning with filters that screened for alcohol and tobacco.  Historically, the screening processes were broad excluding many companies from consideration.  With the computer analysis, investment managers can now screen companies for activities such as factory farming, cluster munitions, child labor, gambling, and pornography, just to name a few.

Sustainable Investments focus more on environmental and sustainable energy issues.  This strategy filters companies across all major industries and scores them based on Greenhouse Gas Emissions Intensity, Land Use and Biodiversity, Toxic Spills and Releases, Operational Waste and Water Management Metrics.

What matters to you could change your priorities about your investments.  Technology has evolved the Socially Responsible Universe.  You may not have to forfeit reasonable expected returns to align your investments with your conscience.  If you have an interest in these approaches, lets discuss what is important to you and learn how they may fit your investment plan.

By Brian E. Conway, CFP, RMS, CFS