Trump May Spur SRI
While Trump is preparing to withdraw the US from their commitment towards the Paris climate agreement, he may actually be good news for the socially responsible investing market. Why? Well because his government doesn’t seem keen on it. Demand and interest in SRI Investment remains strong with institutional investors an companies however, as they continue to increasingly acknowledge the importance of sustainability. Lisa Woll, CEO of US SIF, a Washington, D.C.-based nonprofit organization that promotes sustainable, responsible and impact (SRI) investing comments that
Retail and institutional investors may be prompted to pay even more attention to this growing field because curbing negative environmental influences may not be addressed on a governmental level, she says.
There is good evidence the SRI market will continue to be buoyant. The amount of money invested under SRI standards has jumped with 33 percent to $8.72 trillion over the last two years. Just two years ago SRI investing stood at $6.57 trillion. In 1995, when US SIF started the report, this figure stood at $639 billion. Check out more findings in the freshly published report US Sustainable, Responsible and Impact Investing Trends 2016.
Update 1st of June 2019
So, US SIF was actually right! On the 23rd of April 2019 CNBC headlined ”Trump creates positive effect on socially responsible investing”.
The articles note that:
Assets in sustainable, responsible and impact investment strategies rose to $12 trillion at the beginning of 2018, up from $8.72 trillion at the beginning of 2016.
So I guess that, what many SRI professionals would have considered a bad thing, may actually be a good thing after all. In Dutch we would say, End good, all good.