5 reasons why we’re betting on impact investing.
A few weeks ago, the Global Sustainable Investment Alliance released their biennial report reviewing the sustainable investing landscape. The long and short of it? Impact investing is global, it’s growing fast, and it’s going mainstream. Check out my top five reasons to be bullish on impact.
At the beginning of 2016, global assets invested in sustainable strategies rose to $22.89 trillion—a 25% increase from 2014.
After over 2000 empirical studies, the large majority showed a positive, stable relationship between ESG and corporate financial performance. Seems like doing good and doing well go hand in hand.
When it comes to sustainable investing, Europe1, takes the cake with 53% of the market. But the US comes in second with 38%. We’ll cheers to that!
The oldest ESG index (aka the MSCI KLD 400) has outperformed the S&P 500 for the last 25 years. Criteria for inclusion into the KLD? A company’s environmental, social, and governance performance.
In the US, the Social Investment Forum (US SIF), has seen a 14-fold increase since 1995. That’s $8.72 trillion dollars invested in sustainable, responsible, and impact strategies. But who’s counting?
1 Global Sustainable Investment Reviewhttp://www.gsi-alliance.org/wp-content/uploads/2017/03/GSIR_Review2016.F.pdf
2 A Short History of Socially Responsible Investinghttps://www.thebalance.com/a-short-history-of-socially-responsible-investing-3025578
3 PwC, Point of VIew: Sustaianbility Reporting and Disclosure, July 2016 https://www.pwc.com/us/en/cfodirect/assets/pdf/sustainability-reporting-disclosure-transparency-future.pdf