John Ditchfield

Sustainable and responsible investment: how has it fared during market crises?

Since the 1970s, there have been four periods during which global equities have fallen more than 10% in five days; the 1987 crash, the 2008 global financial crisis, the 2011 eurozone crisis, and the first few months of 2020.

Each of these events has occurred in very different circumstances and brought its own specific challenges. The bear market of early 2020 is no exception, with a severe downturn caused by an emerging understanding of the economic consequences arising from the coronavirus.

Why aren’t there more impact funds out there?

Impact investing, defined by the CFA Institute as “investments that seek to create positive environmental or social impacts alongside a financial return” has been a key buzzword for the investment industry over the past few years.

Despite this, impact investment products available to retail investors remain thin on the ground. Why are there not more impact funds out there? And is it possible to deliver true impact by investing in listed companies?

Ethical, sustainable or impact? Why the language we use matters

In the midst of a general election campaign, we are reminded every day that language matters. There is great resource spent, to give just two examples, on whether one calls a second referendum on EU membership a “People’s Vote”, and on whether to call the Benn Act to stop a no-deal Brexit a ”Surrender Bill”.

And language matters when it comes to responsible investment, too.

Three funds that demonstrate excellence in responsible investment

Last week was Good Money Week, which highlighted the rude health of responsible investment in Britain.

There are now more than 120 ethical and sustainable fund products available in the UK alone, and according to figures from the EIRIS Foundation, investments in UK green and ethical funds have jumped from £19 billion in 2018 to more than £23.5 billion now – that’s equivalent in size to the economy of Nepal.