What are the key differences between sustainable investing and traditional investing?

What are the key differences between sustainable investing and traditional investing?

Sustainable investing focuses on environmental, social, and governance (ESG) factors, while traditional investing primarily seeks financial returns without considering these factors.

Can you give me examples of sustainable investments?

Sure! Examples include renewable energy companies, green bonds, and funds that invest in companies with strong ESG practices.

Are sustainable investments less profitable than traditional ones?

Not necessarily. Many studies show that sustainable investments can perform just as well, if not better, than traditional investments over the long term.

What are the risks associated with sustainable investing?

Risks include market volatility, regulatory changes, and the challenge of accurately assessing a company's ESG performance.

How can I start sustainable investing?

You can start by researching ESG funds, consulting with a financial advisor, or investing in companies with strong sustainability practices.