With crisis sparking a collective demand for change, it’s time for ESG investing to move from a check-the-box component of investment portfolios to a must-have for all portfolios.
There is no one-size-fits-all approach to ESG investing. Our experts thoughtfully craft ETFs to meet our clients’ evolving needs so they can pursue the value ESG investing can add to portfolios.
ESG has long been central to State Street Global Advisors’ mission — we invest responsibly to enable economic prosperity and social progress.
1State Street Global Advisors. Estimated and unaudited ESG AUM as of December 31, 2021 for client mandates in the following categories: negative/exclusionary screening, norms-based screening, best-in-class investment selection, and sustainability-themed investing, as defined by United Nations Principles for Responsible Investing (UNPRI) as:
A fund’s incorporation of ESG considerations in its investment process may cause it to make different investments than funds that do not incorporate such considerations in their strategy or investment processes. Under certain economic conditions, this could cause a fund’s investment performance to be worse than funds that do not incorporate such considerations. A fund’s incorporation of ESG considerations may affect its exposure to certain sectors and/or types of investments, and may adversely impact the fund’s performance depending on whether such sectors or investments are in or out of favor in the market.
Investing involves risk including the risk of loss of principal.
The whole or any part of this work may not be reproduced, copied or transmitted or any of its contents disclosed to third parties without State Street Global Advisors’ express written consent.
Equity securities may fluctuate in value and can decline significantly in response to the activities of individual companies and general market and economic conditions.
Foreign investments involve greater risks than U.S. investments, including political and economic risks and the risk of currency fluctuations, all of which may be magnified in emerging markets.
Investments in mid-sized companies may involve greater risks than in those of larger, better known companies, but may be less volatile than investments in smaller companies.
Companies with large market capitalizations go in and out of favor based on market and economic conditions. Larger companies tend to be less volatile than companies with smaller market capitalizations. In exchange for this potentially lower risk, the value of the security may not rise as much as companies with smaller market capitalizations.
A non-diversified fund that focuses on a relatively small number of issuers tend to be more volatile than diversified funds and the market as a whole.