Dirty, dirty oil. We are so past that. Renewables are all the rage – clean energy, renewable natural gas, wind and solar. Whether you are committed to or skeptical about renewable energies, you cannot deny that ESG companies are getting a lot of media headlines and bylines. For those new to ESG, it stands for “Environmental, Social and Governance”, and includes not only renewable energy companies but also firms changing their practices to affect positive environmental, social, and government changes.
Not convinced that ESG is a real trend? Major investment firms and corporations are embracing ESG: Microsoft (MSFT:NASDAQ) has said it will be carbon negative by 2030 – yes, that isn’t a typo – and BlackRock (BLK:NYSE), the world’s largest asset manager, announced it is all in on ESG and sustainability and is already holding companies like Siemens (SIE:DE) accountable.
If you think you have missed the trade, think again. We believe we’re still early in the ESG trade, so it’s time to put on your research cap and start increasing your exposure. We started our due diligence by looking internally at our clients and, surprisingly, found two that fall into the ESG investment bucket.
Download Sophic Capital’s report HERE.