Skip to content

Green Investing: ESG and Socially Responsible Investment

*

What is ESG? Well, when it’s used in the investment management context it refers to Environmental, Social and Governance standards which a company sets to regulate its own behaviour to illustrate to investors that it is being socially conscious and responsible.

It is often used in conjunction with another acronym, SRI – or Socially Responsible Investment. An SRI fund manager would screen listed companies in an index, taking into account their ESG standards and reporting and either positively include that company in its investment universe, or negatively exclude the company, according to the investment criteria of the manager.

So sounds great, but as clear as mud so far. What we’ll do is start to unpack this area and explain the different aspects of SRI and ESG.


Want the full story? Access all of The Armchair Trader's content for just £5.99 per month.

Get weekly investment ideas and tips that will take your investing to the next level. Sign up here.

Free 28 day trial. Cancel anytime.


Log In or Sign Up to Armchair Trader+

Already a member? Log in here:


Not a member yet? Sign up for your free trial or check out the benefits of membership.

Further content of this article is not available as it is for members only. Please visit the registration page for Armchair Trader Plus+ for further details on the benefits of becoming a member.

Looking for great investing ideas? Sign up to our free newsletter.

Join us on WhatsApp

This article does not constitute investment advice. Make sure you do your own research or consult a professional advisor.

'How to' Guides

Our latest in-depth company reports

Detailed reviews of selected companies and investment trusts.

On the podcast

Sign up for great investing stock tips

Thanks to our Site Partners

Our partners are established, regulated businesses and we are grateful for their support.

Aquis
CME Group
FP Markets
Pepperstone

TMX
WisdomTree
IG
FxPro
Back To Top