SRI, ESG, and Impact Investing Approaches | Mission Wealth

[Music] Chief investment officer at Mission well and today I’m pleased to be discussing how social values portfolio our social values portfolio allows you to align and support your personal values with your Investments all while meeting your long-term financial goals it is an approach to investing that balances both financial performance and societal good many people have philanthropic or sustainable interests they might donate to specific Charities or volunteer they might avoid eating certain foods or focus on sustainably sourced produce maybe they drive an alternative fuel car or avoid buying specific products that do not align with their personal beliefs or values however many people are often surprised to learn that they can also align their investment portfolios in a similar manner this is the intent of our social values portfolios these portfolios not only create sustainability for you but also the world around you and it’s a growing trend more than one out of every four dollars invested under Vision or management in the United States involves some form of socially responsible strategy and the number of available socially responsible Investments has grown significantly over recent years from 2016 through 2018 socially responsible Investments increased from 8.7 trillion dollars to 12 trillion dollars so how do we construct Mission wealth’s social values portfolio firstly we aim to align our social values portfolio with the United Nations sustainable development goals to maximize our impact and support solutions for the world’s greatest challenges amongst others the un’s sustainable development goals aim to eradicate poverty provide gender equality promote sustainable cities and communities and address we focus on companies and funds that are deemed Best in Class across a number of factors but broadly four there’s one of three categories environmental social and corporate governance often referred to by the acronym e s g these Matrix help evaluate how well a company treats this ecosystem all its stakeholders not just shareholders but customers employees local communities and all its lenses we believe the sustainability of a company is not just about good but about a company’s ability to mitigate potential risks for the long-term viability so what specifically does e is and G factors focus on while the following doesn’t cover everything it gives you an idea of the types of criteria and focusments that underpin how social values models by considering environmental factors we focus on companies that limit cabin missions that have lower carbon footprint and fossil fuel exposures and are focused on Energy Efficiency and clean Technologies the aim is to invest in the cleanest and greenest companies within any industry or sector by incorporating social factors into our models we increase the exposure to companies that have strong Labor Management policies companies that focus on diversity and inclusion in the workplace and have strong health and safety guidelines amongst others and by utilizing corporate governance criteria criteria we seek to avoid companies engaged in corruption fraud or anti-competitive practices and instead focus on investing in businesses demonstrating High ethical standards and diversity independable the end result is a custom portfolio solution that moves Beyond traditional Financial metrics and highlights the importance of sustainable practices focusing on businesses that have the greatest positive impact on the world around us and society as a whole our social values models offer you a well-diversified portfolio intended to meet your long-term financial goals while aligning the underlying Investments with your personal beliefs and values please contact Michelle if you would like to learn more in a positive way in that if companies that are maybe run by older Generations don’t adapt to this they’ll find themselves absolutely they’ll become dinosaurs I mean we have to always evolve and if you just look at kind of the investment world today there’s over 20 trillion dollars invested in socially responsible Investments and there’s 200 billion domestically in philanthropic Investments so 20 trillion according to 200 billion it’s a pretty amazing Delta and that’s largely because these younger generation are really wanting to have more purpose and more purposeful conversations and they’re shopping certain ways they also want to work for companies that are mission driven so they’re willing to make less money to work for a company they feel deeply aligned with then a company that maybe has quote unquote better benefits and a larger paycheck which you know our parents probably would have taken the job with greater stability and a greater paycheck the other piece is that Millennials want to live where they want to live and they want to live the way they want to live where you know my parents generation like you got a job and you transferred your family wherever the job was and you’ve got a home and that was your world where now Millennials say no I want to have freedom I want to have flexible schedule I want to be mobile and so they’re finding ways to work for companies that support that so the American dream has really shifted hasn’t it it has