Investing and sustainability

In the past, everyone could decide for themselves what sustainable investing meant. But in 2020, a single common definition of sustainable investing was introduced into European legislation and regulations, so that everyone would know what it meant.

An investment is considered to be sustainable if:

• It helps to achieve an environmental or social goal.
• It does not have a major negative impact on other environmental or social goals.
• The company behind the investments is well managed.

In addition to sustainable investments, there are also ESG investments. ESG stands for Environmental, Social and Governance. ESG investments comply with a number of rules regarding sustainability, but not with the rules applying to sustainable investments.

ESG investments take account of the adverse effects of your investments. These investments can reduce the adverse effects of investments in several ways. By not making certain investments, for example, or by having discussions with the companies. To find out which way of investing is right for you, we’ll ask you about the sustainability issues you want to take into account. These could be the environment, social and employment aspects, respect for human rights or strategies for countering bribery and corruption.

Are you keen on investing in companies that value people, the environment, and society? Then ESG investing might be for you. We have listed 5 reasons why ESG investing is rapidly gaining popularity.