Is this ESG?

ESG investing is growing increasingly complex and confusing and can be a nonstarter when brought up with your clients.

However, Values-Based Investing provides a better path forward.
Why Values?
How is an electric car company, not ESG?

In May of 2022, Tesla was removed from the S&P 500 Index, but ExxonMobil was included.

While the company was well regarded for its Environmental progress, the company was removed due to a scoring model established to evaluate ESG factors across companies.

But this scoring doesn't take into account individual client values or preconceived expectations on what ESG means to them.

ESG is beyond three letters

ESG is not a monolith

ESG is an umbrella term that encompasses many different topics and issues such as climate change, human rights, animal welfare and corporate social responsibility.

Clients have different views on what constitutes a sustainable company or Fund and therefore view ESG in different ways, knowing how each client views these issues is important.

ESG connects better to data

An ESG label doesn’t always translate into desirable ESG improvements.

To choose funds with specific ESG performance, you’ll need impact-linked data to compare them to other funds.

Many clients don't want to dig into the data behind the fund, and ESG ratings don't take into account individual values.

No two clients have the same definition of ESG.

Instead of trying to align to what ESG Investing might mean to each client, why not circumvent that confusion, and shift to talking about what values they want reflected in their portfolio? 

Focusing on client values creates the ability to focus on the top issues they care about and want to generate change in.

This removes much of the confusion that ESG brings and makes this topic translatable to their lives.

Shift the conversation to values instead

Create better conversations and investment focus without being confined to 3 letters.

Discover a platform that guides you through the value discovery of each of your clients.

Compiles their answers and builds personalized value sets.

Then outputs customized, client-ready, impact reports at the press of a button.

See how the YourStake platform can drive better engagement and grow your practice while removing the moniker that ESG brings.
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