What is Responsible Investing?

Explore how environmental, social and governmental aspects could be a potential source of opportunities and a driver for change.

Group of people sitting around a table in an office

Want to make a positive impact with your investments?

Climate change is one of the biggest challenges of our time and urgent actions are needed.   

Whether you’re interested in reducing CO2 emissions, climate-friendly innovations or promoting diversity in the world of work to name but a few, you can choose to contribute to a more low carbon and socially just future.

What is responsible investing?

It is relatively well known that the abbreviation “ESG” is related to sustainability, but what do the three letters actually mean? 

Responsible investment is a term that is inclusive of investment approaches that consider environmental, social and governance (ESG) factors in portfolio selection and management across different strategies* from exclusion to integration, engagement and voting to impact investing. 

 
Capital E with icon of leaf

 

Environment refers to the ability of companies to control their direct and indirect impacts on the environment. It can include a firm’s carbon footprint, energy use and waste management.

Capital S with logo of people

 

The social part focuses on issues related to the human capital and the protection of human rights in general. It includes working conditions, diversity and non-discrimination, health & safety.

Capital G with icon of classical building

Governance factors look at the firm’s management team and the way it runs the business, Shareholder rights, executive compensation as well as bribery and corruption. It assesses companies' ability to ensure an effective corporate governance framework that guarantees it will meet its long-term objectives.

 

At Amundi we analyse the way ESG companies can materially impact the value of companies and the way companies can impact the environment and social matters or human rights. 

Do you want to help transform the economy?

The good news is that we believe that responsible, forward-looking action and long-term opportunities go hand in hand.

 

That is why we aim to offer environmental, social and governmental aspects in our responsible investment strategies in addition to financial ones.

 

So, if there are specific environmental or social challenges you would like to try and tackle, we have you covered.

Do you want to help transform the economy?

Person standing on a grassy hill

("Please refer to the Amundi Responsible Investment Policy and the Amundi Sustainable Finance Disclosure Statement available here”) 

*source: GSIA Global Sustainable Investment Alliance https://www.gsi-alliance.org/ 

Unless otherwise stated, all information contained in this document is from Amundi Ireland Limited and is as of 08 May 2024. Diversification does not guarantee a profit or protect against a loss. The views expressed regarding market and economic trends are those of the author and not necessarily Amundi Ireland Limited and are subject to change at any time based on market and other conditions, and there can be no assurance that countries, markets or sectors will perform as expected. These views should not be relied upon as investment advice, a security recommendation, or as an indication of trading for any Amundi product. This material does not constitute an offer or solicitation to buy or sell any security, fund units or services. Investment involves risks, including market, political, liquidity and currency risks. Past performance is not a guarantee or indicative of future results. Amundi Ireland Limited is authorized and regulated by the Central Bank of Ireland.

Date of first use: 09 September 2024

Doc ID: 3842108

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