A huge shift towards sustainable investments
There has been a growing public awareness of the collective impact that our individual actions can have on others. Broadcasters such as David Attenborough and campaigners like Greta Thunberg have brought environmental problems to the fore, while the Covid-19 pandemic has highlighted health and social issues.
International treaties aiming to manage environmental damage have been part of the backdrop since the 1980s, with the Paris Climate Agreement currently the most prominent. More recently, governments are seeing opportunities to align fiscal stimulus with an environmental agenda, which will result in opportunities for investors, while regulators are driving change through the introduction of sustainability-related considerations explicitly within investment terminology and when working with clients. Finally, strong relative performance has pushed sustainability-orientated funds on to the radar of the general investor as well as those with a focus on ESG issues.
The value of investments and any income derived from them can go down as well as up as a result of market or currency movements and investors may not get back the original amount invested. Views and opinions have been arrived at by BMO Global Asset Management and should not be considered to be a recommendation or solicitation to buy or sell any stocks or products that may be mentioned.
© 2021 BMO Global Asset Management. Financial promotions are issued for marketing and information purposes; in the United Kingdom by BMO Asset Management Limited, which is authorised and regulated by the Financial Conduct Authority.