TC Capital Partners has always thought that investing based on Environmental, Social, and Governance (ESG) concerns is about performance, not politics. So it was delightful to read this week's Barron's column by John Streur, President and CEO of Calvert Research, making the same point. "Evaluation of ESG criteria is not an attempt to impose a political agenda on society through capital markets," says John. ESG investment techniques have become commonplace due to a rising recognition among consumers and investors alike that ESG issues are important to the financial performance of organizations everywhere."
We, like Calvert Research, feel that there are numerous misconceptions regarding ESG investing, and that ESG is not about politics. We also understand that the benefits of investments (their "utility") come from more than just profits for certain people, including many of our clients. We make it a priority to build portfolios that reflect not just our clients' risk/return objectives, but also, when appropriate, their values.