When business and personal values merge, everyone benefits

The news that our client, Springfield Properties has become the first UK housebuilder to build a ‘recycled plastic road’, incorporating waste plastic at one of its Elgin developments, should be popular with those seeking to live in eco-friendly homes and neighbourhoods. It should also be popular with the investment communities as environmental, social and governance (ESG) strategies are being taken increasingly seriously by companies seeking to create long-term value for shareholders.

According to a global report published this month by Natixis Investment Managers, nearly two-thirds of institutional investors believe ESG will become an industry standard within the next five years and 7 in 10 individual investors believe it is important to make a positive social impact through their investments. The report supports the belief that investors see the best of both worlds in ESG investing as it has the potential to help them align assets with their personal values, while still producing the required performance to achieve their financial goals.

A key part of this trend towards investment in ESG strategies is communication and education. This is where the skills of financial PRs are best applied as they keep clients informed of any shifts in market sentiment. What might previously have been considered simply a corporate story could also be of interest to investors – for companies seeking to instil confidence, ESG is paving the way.

By Joe Quinlan

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