While countries around the world agree to partake in clean energy solutions, the United States government has made the startling decision to remove itself from global climate change and environmental sustainability efforts. Many of the recent administration changes have rolled back Obama-era policies positioned at reducing environmental carcinogens and pollution, combating the ever-increasing  (and real) threat to our climate, and placing trust in fossil fuels and energy methods that have no promise of long-term significance. The plans are, at best, short-sighted.

Here are the facts.

97% of climate scientists agree that climate change is occurring. And you guessed it. The cause is human activity.

There are detrimental impacts of climate change. And we’re just starting to see them.

Climate change and global warming can be stopped. But we have to start now.

We know how to mitigate and adapt. We have the tools: renewables.

The Job Myth

The government is basing their position on economic and job opportunities. We can absolutely be on board with that. If it made sense. Promises to create more coal jobs remain unfulfilled. Pipeline and drilling efforts remain blocked in litigation. Although, how these jobs are best for worker, consumer, or environmental health is an entirely different story. The reality is that jobs are coming from technology. Not from non-sustainable industries.

Around 50,000 individuals are working in the coal industry. There are over 250,000 employed by the US solar energy industry. In the last decade, solar has grown at an annual rate of over 50%. Cities across the country are adapting their own environmental policies in the absence of national and international ones. Faced with increasing extreme weather events, cities are investing in the sustainable infrastructure in terms of agriculture and clean drinking water, power and electricity sources, temperature increases, and disaster mitigation.

Solar is just one option. Most involve sunlight in some fashion – billions of years old, it’s not going anywhere.  But others, like wind, geothermal, hydroelectric, and biomass sources are just barely being scratched. Learning how to use these sources correctly, cost-effectively, and getting them mainstream offers unlimited possibility for future job positions.

Adoption

Another big myth to renewable energy consumption is cost. In fact, the cost to install solar has dropped by more than 70% over the last decade. Imagine what the industry could do with government-backing, media involvement, and consumer adoption.

Now take Tesla as a fantastic experiment in consumer advocacy and the power and influence of the oil industry. Even through tremendous amounts of exaggerated, negative publicity, Tesla has managed to not only create a sustainable automobile, they’ve managed to create one that has high value and adoption by the average consumer. With the recent release of their Model 3, they’ve also seen to create at a price point that rivals (and often beats) the average of most automobile makers in America. Again, imagine how the industry could change with support.

The reality is that all change has to start somewhere. The most effective way to make a change is to support the companies changing the world for good. In our environmental portfolio, we’ve identified companies that profit from fossil fuels and non-sustainable practices. You won’t find them. Instead, you’ll find technology-driven and fast-growing companies with a mission to not only succeed in their industry but environmental efforts as well.

Want to learn more about impact investing and how you use your money for good? Get in touch.

We believe in empowering our investment clients by allowing them to not only invest in companies that have strong environmental, social, and governance (ESG) standards but also to maintain advocacy by promoting change from within the organization. Owning at least one share of a company’s stock allows any one person, company, or institution to be referred to as a shareholder, or stockholder.

In publicly traded companies, shareholders maintain a certain degree of ownership to the company. If the company does well, the shareholder benefits from increased stock valuation, and if the company does poorly, the stock then loses value and the shareholders, in turn, lose money.

There can be many additional benefits, depending on the corporation, that shareholders can participate in. Since you likely started impact investing, or investing your money according to your values because you wanted a say in how your money was being used, you likely care even more so about the decisions companies are making on a day-to-day or year-to-year continual basis.

This raises the question: as a shareholder of a company, how can you advocate for your values?

1. Let start with the obvious off the bat. Invest. By investing in companies that you feel strongly about from either a revenue or purposes standpoint, you’re taking a risk that the company will succeed. The more you invest, the more the company will be able to continue its mission as a business and in their socially responsible practices.

2. Vote. As a shareholder, you have the opportunity to vote on matters important to the organization. For instance, if you value equality & diversity in corporate governance, place your vote when the company chooses its board of directors annually. Or, if the company is considering a merger in the future, do your research on the potential merging company’s environmental or human rights records.

3. Attend the company’s quarterly or annual meetings. This is the single best way to learn about a company’s performance and business growth plans. Unable to attend a meeting in person or via conference call? Review the company’s quarterly or annual report, which should be available to all shareholders. Let this guide your investment decisions. Consider sharing concerns or research with appropriate personnel if your research warrants.

Your investments are a reflection of your values. Advocate for your values with the companies you have trusted with your investments. New to impact investing? We offer many different socially responsible portfolios and offer custom screens including Shareholder Advocacy, Community Impact Investments, Employee Relations, Environment, Product Safety, Corporate Governance, Military Contracting, Alcohol, Nuclear Power, Tobacco, Gambling, Animal Testing, and Repressive Regimes.

Want to learn more about impact investing and how you use your money for good? Start building your portfolio today!

Offer expires April 12, 2019.

Why Open an IRA

Let’s start with the basics. Anyone can contribute to an IRA, or individual retirement account, regardless of additional employer-sponsored retirement accounts, or 401k(s). As long as you make an income from your wages as an employee or business owner, you are allowed to contribute to an IRA.

A few things to take note. For 2018, the IRA contribution limit is $5,500. This is per person, not per account. Those contributors age 50 and older can provide a catch-up contribution of $1,000 making their limit $6,500. These limits are increasing for 2019, but you are still eligible to take out Roth or Traditional IRA accounts before the tax filing deadline of April 15, 2019. One month, folks.

Not only can your IRA contributions give you a tax break, but over time, saving additional for retirement in the form of an IRA can grow to quite a healthy nest egg. The earlier you start, the larger it will be – based on a historically average return of around 7%!

Learn more about the various types of IRAs.

Or

Get Started. We’ll even help you out. When you contribute a $50 minimum to your 2018 IRA through Invested Interests before April 12, 2019, we’ll match your $50. Boom.

Make money. And make an impact.

At Invested Interests, we practice impact investing. Impact investing is an investment strategy that considers both financial returns and social responsibility. When you open an IRA with us, not only will you be contributing to your financial future, we’ll help you ensure your funds are helping out our world in the meantime.

We offer many different socially responsible portfolios. For more information on all of our portfolio options, click here.

Impact investing isn’t just the right thing to do, it’s the smart thing to do.

Want to learn more about impact investing and how you use your money for good? Get in touch.

“Yes”, they say, “it sounds great, but I don’t want to lose money”. This is the biggest concern we hear from potential clients. They love the idea of investing with their values but are genuinely concerned over the common misconception that impact investments underperform when compared with traditional investment methods.

The Research

In 2015, Deutsche Asset & Wealth Management and Hamburg University conducted an analysis of over 2,000 empirical studies showing the relationship between environmental, social and governance (ESG) factors and a company’s financial performance. They found that an overwhelming majority of these studies have found a positive correlation when reviewing decades of data.

From 2016 to 2018, sustainable, responsible and impact investing (SRI) has grown by more than 38% with an estimated $12 trillion in total assets under management in 2018 due to these investment strategies.

You don’t have to rely on research papers, however. You can take a look at pure performance results by comparing the performance of sustainable stock indexes, like the MSCI KLD 400 with a conventional stock index like the S&P 500.

Stock Indexes

The Standard & Poor’s 500 Index (S&P) is a stock market index showing the performance of the 500 largest U.S. stocks. It is widely accepted as the best indicator of market volatility and performance. Other common benchmarks including the Dow Jones Industrial Average and the Russell 2000 Index are also well-known indicators.

The MSCI KLD 400 Social Index was launched to consider environmental, social and governance factors and includes 400 companies of the 3,000 largest U.S. companies in the U.S. equity market. Similar to the S&P 500, companies are chosen to be represented at one point during each fiscal year. Unlike the S&P, companies are only eligible to be included on the KLD if they have exemplary social and environmental records. Companies are screened on a number of various social factors.

Since 1990 when the KLD started screening for ESG factors, it has performed slightly better than the S&P 500.

Sustainable investing continues to make waves in the investment world. While many critics still hold on to the notion that sustainable investing divests from those industries making money (namely gas and oil), it’s no longer limited to standard divestments. Multiple different screens, comprehensive investments, and divesting from individual companies that don’t align with investor values are all options.

Check out our various impact investing portfolios including Environment, Diversity & Equality, Peace, and Human Rights. Each starts with our recommendations and screens but can be customized to your individual investor requirements.

Many of the world’s largest and most successful companies are working to improve their ESG factors, and an ever-increasing number of investors are recognizing the benefits of impact investing. In short, we’re just getting started.

Make money. And make an impact.

As we’ve mentioned, impact investing is an investment strategy that considers both financial returns and social responsibility.

In other words, it’ isn’t just the right thing to do, it’s the smart thing to do.

Want to learn more about impact investing and how you use your money for good? Get in touch.

As we’ve seen over the past year, there is no longer any reason or excuse to deny that climate change exists. Extreme weather events have become the norm, global temperatures are rising, and glaciers are retreating around the world. We are constantly being warned that if our fossil fuel consumption, energy levels, and habits don’t change, we’ll continue to see devastating climate effects – including severe temperature changes yet this century.

While a small, but vocal, minority cling to the mindset that “if it’s cold where I am, global warming can’t possibly be real”. In truth, weather and climate are two very different phenomena. The recent rise in “polar vortex” conditions allows this myth to cling while in reality, global warming is actually the cause behind the record-low temperatures and extreme weather events we’ve been growing accustomed to.

The Green New Deal Outline

Rep. Alexandria Ocasio-Cortez, D-NY, and Senator Ed Markey, D-Mass, have proposed a potential framework for both climate change and economic policy dubbed the “Green New Deal”.

The proposed solutions are big and bold. Yet, they aren’t near as big as the threat climate change presents to our current standard of living.

Proposed as a 10-year plan, the Green New Deal calls for:

• “Meeting 100 percent of the power demand in the United States through clean, renewable, and zero-emission energy sources.”

• Upgrading all existing buildings in the United States for energy efficiency

• Promoting universal access to healthy food while working with farmers to decrease or eliminate greenhouse gas emissions

• Overhauling transportation systems – including expanding electric car manufacturing, charging stations, and implementing high-speed rail systems

In addition to these climate-focused agenda items, the Green New Deal is interested in progressive economic policies – including universal healthcare, access to quality and meaningful work, and other tax policies.

While the Green New Deal is proposed as more of a framework for change than a “how to” document, there is no denying the underlying issues are at least being brought up for public attention, media conversation, and potential legislative change. How long that takes is still undetermined.

Looking for what you can do now to help reduce the effects of global warming and climate change? Our environmental investment portfolio invests only in companies already taking these steps to reduce their footprint and develop sustainable energy sources. Learn more and lets #investinwhatmatters together.