Like many important trends, sustainable investing has spurred both excitement and confusion, for some in roughly equal measure. Misconceptions about the nature, purpose and even the definition of sustainable investing have taken hold, and it’s sometimes hard to find the signal in the noise.
We’ll tackle these misconceptions one by one. But first, we’ll define our terms.
At J.P. Morgan Private Bank, “sustainable investing” is an umbrella term used to describe investment approaches that incorporate financial as well as social and environmental objectives.
We believe in the power of investing to drive both sustainable long-term growth and positive impact.
The incorporation of sustainability factors in the investment process can help deliver enhanced, risk-adjusted returns over the long run, and can also help integrate investors’ values and missions with their financial objectives.