ESG Investing

Enhancing Financial & Societal Value

ESG Investing

Impact Wealth Management often incorporates Environmental, Social & Governance (ESG) investment techniques (commonly referred to as socially responsible investing) as a subset of clients’ overall portfolios.  The nature and degree of such is determined on a case by case basis, however, the potentially positive impact of including such strategies has been empirically borne out by performance results of multiple ESG stock indexes*.  The intuition supporting this performance gap should not seem extraordinary.  Executive management teams who give credence to ESG factors tend to make more informed and prudent corporate decisions.  They simply bring more information to bear on complex scenarios than those who do not consider such factors.  Increased analysis of material information, in conjunction with increased corporate governance standards, is positively correlated with reduced capital costs which support higher returns on investor capital and enhance shareholder value.        
*IMPORTANT DISCLOSURES

The opinions voiced in this material are for general information only and are not intended to provide specific advice or recommendations for any individual. To determine which investment(s) may be appropriate for you, consult your financial advisor prior to investing. All performance referenced is historical and is no guarantee of future results. Indexes are unmanaged index and cannot be invested into directly. Unmanaged index returns do not reflect fees, expenses, or sales charges. Index performance is not indicative of the performance of any investment.

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