Responsible Investment
Responsible Investment refers to the practice of making investment decisions that consider not only financial returns but also environmental, social, and governance (ESG) factors. This approach aims to generate long-term value while promoting positive societal impact. Investors may choose to support companies that prioritize sustainability, ethical labor practices, and transparent governance.
By integrating ESG criteria into their investment strategies, responsible investors seek to mitigate risks associated with poor corporate behavior and environmental harm. This can lead to better financial performance over time, as companies that adhere to responsible practices are often more resilient and adaptable in a changing world.