The following is a guest post from our Run for Relief sponsor, KLT Wealth Management.
What is KLT Wealth Management?
KLT Wealth Management is a Financial Planning firm operating out of New Hamburg and Ottawa, servicing clients all across Ontario. We believe in complete and holistic Financial Planning which includes Estate Planning, Retirement Planning, Tax Planning, Investment and Insurance Analysis. Our priority is to work with you on all levels to help you achieve your financial goals.
Trend towards Socially Responsible Investments
As we work our way through 2021, we are seeing the development of some popular investment themes. We view the most significant theme to be the continued rise of Socially Responsible Investments. More so today than ever before, we are seeing a growing popularity and need for green energy and clean technology. We expect Socially Responsible Investments (SRI) and the evolution of Environmental Social Governance (ESG) investment funds to be at the forefront this year. Socially Responsible Investing is not a new theme, but historically has been linked to poor returns. However, that is no longer the case. It is becoming more and more clear that companies with greater ESG mandates are performing the same if not better than their peers.
Companies that use the ESG framework are striving for not only positive financial growth, but to have long-term, positive impacts on society, the environment, and the governance of their business (and its supply chain). ESG focused investment funds add another layer of analysis to ensure they are meeting both their performance and ESG mandates. This helps in adding another layer of risk protection to the investor. With ESG focused investments, it is important to understand that one is not like the other, and they cover a broad scope of approaches and investment styles.
Some of the more popular trending thematic approaches are green energy, clean technology, positive change, and women in leadership. With a wide variety of Socially Responsible Investments available, it is important to seek advice to know exactly what you are investing in.
Investments that improve society
Overall, society is moving in a new direction with innovative companies working to better the planet. Investors are taking note, and realizing that opportunities exist to invest not only for their benefit, but also for the betterment of society, and aligning their investments with their values. As further understanding and popularity rises, coupled with strong performance, Socially Responsible Investments will become more mainstream this year and beyond.
How to learn more
Contact us at KLT Wealth Management so that we can help you in your responsible investing, as part of your complete Financial Planning. Contact Joe Figliomeni (joe@knowliketrust.ca) or Brad Wilson (brad@knowliketrust.ca). Visit https://www.knowliketrust.ca/ to learn more.
Mutual funds and/or approved exempt market products are offered through Investia Financial Services Inc. ("Investia") Mutual funds and exempt market products are sold exclusively by Representatives who are licensed by provincial regulators and registered with Investia. Commissions, trailing commissions, management fees and other expenses may be associated with mutual fund/exempt market product investments. Please read the Fund Fact or prospectus carefully before investing. Mutual fund and exempt market product investments are not guaranteed, their values change frequently, and their past performance may not be repeated.
