Sustainable investing is a broad term for investment approaches that consider environmental, social and governance (ESG) factors and their impact (French, 2017). Every investor should be concerned with ESG if we are to leave a legacy for a future generation should we manage not to devastate our planet. Emphasize to good stewardship of the environment, and its populated globe lies within each to govern our most precious resources with or without government intervention. Investors have a tremendous influence on the corporate world to put ESG in priority tempered with its objective to increase stock prices.
Our society as a whole is maturing to demand social and environmental impact for the greater good. Corporations has no choice but to comply with the change of time. Thus ESG stocks will outperform non-ESG stocks. Invest in funds with social enterprise organizations; for-profit businesses that trade to internationally tackle social problems, improve communities, provide people access to employment, training, or help with the environment (Social Enterprise Definition, n.d.)
French, S. (2017, October 17). ESG in Focus: What Is Sustainable Investing? Retrieved from Oppenheimer Funds: https://www.oppenheimerfunds.com/advisors/article/esg-in-focus-what-is-sustainable-investing
Social Enterprise definition. (n.d.). Retrieved from Social Traders: https://www.socialtraders.com.au/about-social-enterprise/what-is-a-social-enterprise/social-enterprise-definition/
Donating your vehicles such as cars, boats or farming equipment can provide opportunities for families in the Philippines’s. Enhance a Village will use, repair or give your car donation to farmers in the Philippines. This can give famers access to tools that make farming more efficient.
I discussed in the first part of this blog the issues of the Fair Trade system. Fair Trade is challenged by a very fundamental issue-- an information deficit.
The Fair Trade movement is fairly small in the Philippines but has been growing in recent years. It is comprised of a mix of small cooperatives and multinational corporations. For the vast majority of Filipino farmers, any Fair Trade certification is far too expensive to be a realistic option. Generally, the small co-ops are certified by Fair Trade and the large corporations by Fair Trade USA. The two organizations split over a differing view of multinational corporations’ role in Fair Trade. Fair Trade USA has changed certain strategies and standards in an attempt to bring larger companies into the Fair Trade market. Many, including the World Fair Trade Organization fear that the presence of multinationals in the Fair Trade market makes it difficult for co-ops and small farmers to compete in the Fair Trade market. For the very poorest farmers, it would be nonsensical to pay high certification fees to enter a competition with multinational corporations.