Holly's Blog: Meet our Sustainable Savers
24 Jan, 2020
This week Boring Money proudly joins Donald Trump’s list of the “heirs of yesterday's foolish fortune tellers" as we launch our brand new Money Tribe – #sustainablesavers.
This week Boring Money proudly joins Donald Trump’s list of the “heirs of yesterday's foolish fortune tellers" as we launch our brand new Money Tribe (https://www.boringmoney.co.uk/sustainable-savers-old/) – #sustainablesavers.
Although interest in sustainable investing can feel like it focusses solely on today’s hot topic of Climate Change, importantly there is more to it than this. More broadly it’s just a common-sense approach to finding well-governed firms which won’t have scandals blowing up in their faces, and which make things that people will still want/ they will still be allowed to make in 3 decades’ time.
The case for sustainable investing can be made most powerfully with some individual and specific facts:
Consumer demands are changing – people are trying to sell me vegan trainers!
Supply is changing – after 2040, no new diesel or petrol cars can be sold.
And the funding available is changing – in order to meet the goals set out in the 2015 Paris climate agreement, investors need to allocate an additional $1.5 trillion per year to renewable energy and other low-carbon projects within the next decade. That’s a lot of lolly and investment guaranteed to pump into one sector!
There’s still some lingering assumptions that investing sustainably means kissing goodbye to profits. That might have been the case decades ago with the so-called ‘ethical funds’ which excluded the nasty businesses which made loads of cash in the evil 80s. But today’s sustainable funds are not just about leaving out the baddies, but embracing the goodies. Here’s just one example – Liontrust is a fund manager with strong sustainable creds – their Sustainable Future Global Growth fund is up about 29% over the last 12 months.
If you – like many of our readers – want to know how to invest in sustainable businesses, our brand new pages tackle concerns about returns (https://www.boringmoney.co.uk/learn/articles/does-investing-sustainably-mean-making-less-money/), share readers’ stories (https://www.boringmoney.co.uk/sustainable-savers-old/ceri-and-phil-sustainable-saver-story/), offer tips from global research house Morningstar and highlight various fund lists (https://www.boringmoney.co.uk/learn/articles/fund-selector-favourites-sustainable-esg-best-buy-fund-list/#3things) to meet your individual needs and preferred approach. Low carbon? No sin stocks? Good governance? Sustainability? It’s all there. Have a look and let us know what you think.
What are you planning this year?
We are finalising our annual review of which online investment firms are any good. And digging into the mindset of British investors. Both confident and confused! We would really love your help in unlocking the bigger picture.
This short survey (https://survey.eu.qualtrics.com/jfe/form/SV_3JYK8mQeZcAwg6N) asks what you like about your current provider. What you value. Or if you’re planning on leaving them and why!? It will take about 3-4 minutes to complete and helps us immensely. There’s a £50 John Lewis voucher up for grabs for one winner as a further little incentive cherry on the Boring Money cake*. Pretty please... it really (sadly?) makes my day when we see that 100s of you have replied.
Have a great weekend. Don’t forget those online tax returns. Just to add to January Joy!