ESG investing...what is it exactly? Well, ESG stands for Environmental, Social and Corporate Governance and refers to the overall rating of a business's collective contentiousness of how it effects the world around it both socially and environmentally. You might have seen through countless hours spent on social media, but younger people during the pandemic have spent more of their time getting into investing in the stock market to boost their savings and portfolio.
It has become such a hot topic that it often appears on front page news as top stories such as the time that stock market buyers hiked up the prices of ‘GameStop’ forcing a hedge fund to lose billions in a short they put against the company's stock prices. The Student Experience team here at Pearson College think this is such a cool topic, we even released a blog on our tips on how to start investing! So, before you start reading the rest of this, go check that one out and see what we have to say.
Now that you have read out ‘Investing Tip’s’ blog, you’ll probably want to start investing but the younger generation who are beginning to look at the Stock Market still care about who they are investing in and making sure the company aligns with their own ethics. That’s where ESG investing comes in. This calculation and rating of companies allows for customers to invest in companies they believe in that have projects and aims to make themselves more eco-friendly.
Investing and being conscious of our planet can go hand in hand. All you have to do is check out the rating of a brand you like to see what goals they have over the next 5 years. We have found a fantastic website for you to take a look at that does exactly that. If you want to look at companies fighting against CO2 emissions or looking into renewable energy then this website does exactly that, giving you a list of companies who all have different projects relating the topic you select. Check it out using the link below and start investing consciously!
https://www.ishares.com/uk/individual/en/themes/sustainable-investing/investing-with-climate-in-mind