Are your values and investment aligned? Can you make a difference by investing in socially responsible companies? Are such businesses easy to find, and can you make money with them? Today, we talk about the possibilities and also the limitations of ESG investing.
Don’t miss out on our best webinars, tips, and tools, subscribe to The Dividend Guy Blog Newsletter!
You’ll Learn
- ESG stands for Environment, Social, and Governance, but what does it imply? What can you expect from businesses that follow such guidance?
- Mike shares examples of “good” ESG stocks. Banks, railroads, and some consumer staples companies tend to score high in the ESG score. Does that mean they are in line with your values?
- To understand such scores better, we dive into the StarMine ESG Score provided by Refinitiv and available at Dividend Stocks Rock. We explain why some companies – SBUX, AAPL, CNQ, etc. – could be great investments while being among the worst ESG performers.
- What other indexes or scores are available to investors?
- Do ESG stocks tend to outperform or underperform the market? What kind of results can you expect?
- In the end, the limits of ESG investments are very personal. Mike shares his thoughts on why the ESG score is a good “cross-reference” but is not at the center of his research. Still, investing in companies that you will feel comfortable with surely helps sleeping well at night!
Related Content
To pursue thoughts on limitations in your research, here’s an episode on why ignoring companies with a yield below 1% is a big mistake.
About a decade ago, Mike did a mini-series on Socially Responsible Investing. It’s interesting to see that so many years later, the conclusion remains similar!
SRI – Socially Responsible Investing or Investing to Make Money: Are Both Possible?
The Best Dividends to Your Inbox!
Download our Dividend Rock Star List now and do not miss out on the good stuff! Receive our Portfolio Workbook and weekly emails, including our latest podcast episode!
Follow Mike, The Dividend Guy, on:
Have Ideas?
If you have ideas for guests, topics for The Dividend Guy Blog podcast, or simply to say hello, then shoot me an email.
This podcast episode has been provided by Dividend Stocks Rock.
Leave a Reply