Environmental, Social and Governance

Building a Sustainable Future

Sustainable investing is the practice of incorporating material environmental, social and governance (ESG) factors in investment decisions and active ownership. It is based on the understanding that material ESG factors play a substantial role in long-term value creation.


Defining Your ESG Goals


Amid environmental and societal challenges, and incoming ESG regulations, how can investors build long-term resilience in their portfolios while benefiting from new investment opportunities?

We advise that investors define and develop specific ESG investment objectives and goals, based on their vision, mission and investment goals. Common investor objectives can include alpha generation, risk mitigation, adhering to ESG regulations or aligning the portfolio to the investor’s values. Investment principles can be developed based on these objectives, which will form the ESG investment strategy.


ESG Investment Strategies


Investors can pursue their specific ESG objectives through a range of investment strategies.


Climate Investing


Data Analytics


We built a transparent, multi-source data architecture to help investors that we can leverage for our ESG analysis and to generate R-Factor scores. We can also provide ESG analysis at the portfolio level to help investors understand their ESG exposures.


ESG: Important to Our Investment Philosophy


At State Street, our mission is to invest responsibly to enable economic prosperity and social progress. As one of the world’s largest asset managers, we can partner with clients to achieve their ESG objectives through our global expertise in ESG research, investment strategy and data analytics.

Through engagement, voting and thought leadership, we encourage companies to enhance diversity at the board level, strengthen board leadership and improve disclosure on their sustainability practices.

Further information on our stewardship approach can be found in our Annual Stewardship Report.


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