Impact investing

Our planet’s habitability is under threat from our production and consumer methods. Climate change and declining biodiversity – to name the most obvious effects – are impacting people and society and demand a global transition to a more sustainable economy.
There is also a need for more and better solutions to social problems, such as alleviating poverty, access to healthcare and, closer to home, sustainable homes.

Long-term investment in innovative companies that contribute to solutions to social or climate problems can yield an attractive return.

In putting their capital to use, institutional investors can play a major part in accelerating the energy or food transition, for example. Or contribute to better social amenities in developed and emerging markets.

The positive impact of direct investments can be tangible and close to home. Take investments in the construction of care homes and hospitals or infrastructure for alternative energy sources. Yet providing access to healthcare or financial services can be measurable too.

Companies that fall behind in the necessary transitions to a more sustainable economy can lose value in the long term. Investment in innovative businesses mitigates this risk.