Sustainable Finance in the Present Financial Crisis
Global economy seems to be reviving and the mainstream investors are embracing responsible and sustainable investment strategies. Experts believe that the surging interest in green investment companies and funds is a lesson learnt from the present global financial crisis that was also caused due to predatory lending and excessive corporate governance. The concept of sustainable finance seems to have the key to bringing the global economy back on track.
Green investment opportunities have increased a great deal in the past decade. Something that was being considered a fringe activity by several investors before the economic downturn has now turned into a platform for reaping financial benefits along with supporting social and environmental concerns. The fact that large financial firms are now offering sustainable investment options to the clients is more than welcoming.
Financial experts recommend general investors to conduct a thorough research and choose a firm of their choice. They must also go through the small print of the literature provided by the fund manager before investing their money into a green fund or company. Some of the popular green funds in the market are Spectra Green, Calvert Large Cap and Guinness Atkinson Alternative Energy. In a broader perspective, sustainable investment options go beyond choosing a more sustainable company from a less desirable option. Green funds are also proving beneficial in forcing individual companies to address environmental and social causes.
These funds are outperforming other investment options in the market. The concept of sustainable finance has come a long way from being a âbad betâ to the most promising investment opportunity. Eco-friendly companies have gained tremendous popularity in the last few years. Investors and financial firms willing to combine ethics with investment are choosing green funds. Growing environmental concerns will take this sector to new heights in the coming years.