BlackRock launches sustainable investing fund supporting UN’s Sustainable Development Goals. Areas it invests in include sustainable food, clean energy, affordable housing, and public health. Tom Lydon promotes the Global X Conscious Companies ETF, reflecting the Concinnity Conscious Companies Index emphasizing ESG and focuses on customers, suppliers, stock & debt holders, local communities, and employees. More investing, funds,
Transcript & Links, Episode 30, April 24, 2020
Hello, Ron Robins here. Welcome to podcast episode 30 published on April 24, 2020, titled “Sustainable Investments Making Our World Better. More…”—presented by Investing for the Soul. investingforthesoul.com is your site for vital global ethical and sustainable investing news, commentary, information, and resources.
Remember that you can find a full transcript, links to content – including stock symbols and bonus material – at this episode’s podcast page located at investingforthesoul.com/podcasts.
And Google any terms that are unfamiliar to you.
With much of the investment industry in lock down, the news flow is down incredibly. Hence, this podcast is shorter than normal.
1) Sustainable Investments Making Our World Better. More…
Some of you might have heard the name Blackrock. BlackRock is the largest money management firm in the world. Well, the company was recently called upon by the US Treasury and the Federal Reserve to manage the buying of massive amounts of bonds and mortgage-backed securities. Now that same firm has just launched the BlackRock Global Impact Fund.
Writing on the climatechange.com site under the title, BlackRock launches sustainable investing-focused impact fund, Camilla Watkiss says that the fund “enables investors to direct finance towards companies that are supporting the UN’s Sustainable Development Goals (SDGs).” End quote. Well, that’s great!
Also, BlackRock’s Chairman and CEO, Larry Fink, gained notoriety earlier this year by proposing that sustainable investing is both here and now and the way of the future! Quoting him, he said that, “Every government, company, and shareholder must confront climate change… we will be increasingly disposed to vote against management and board directors when companies are not making sufficient progress on sustainability-related disclosures and the business practices and plans underlying them.” End quote.
Since BlackRock is hugely influential in the investment world, their stance on sustainable investments making our world better has sent shock-waves throughout the investment industry.
2) Sustainable Investments Making Our World Better. More…
Now, as you know from my previous posts, companies, and funds emphasizing sustainability and ESG principles are doing better than their ‘conventional’ equivalents. Even in these down markets. Now, Tom Lydon in his article titled Crisis Reveals Utility of Emphasizing Conscious Companies describes his favourite fund in this regard. It appeared on the ETF Trends site.
Mr. Lydon says that “Tough times can reveal a lot about a person. The same is true of corporate reaction to crises and investors are getting a real-time taste for how companies are dealing with the COVID-19 pandemic. That’s also shedding light on ETFs, such as the Global X Conscious Companies ETF (NasdaqGM: KRMA).”
Further, he says that the “Global X Conscious Companies ETF, which turns four years old in July, tries to reflect the performance of the Concinnity Conscious Companies Index, which tracks companies that achieve financial performance in a sustainable and responsible manner and exhibit positive Environmental, Social and Corporate Governance (ESG) characteristics…. [its] methodology focuses on stakeholders, such as Customers, Suppliers, Stock & Debt Holders, Local Communities, and notably, Employees, according to Global X.” End quotes.
3) Sustainable Investments Making Our World Better. More…
This next article recommends four stocks that have appeared in this podcast many times. Hence, I almost hesitated to repeat them! But with so little news flow and seeing that they are still top-of-the-line holdings of most ESG funds, I reconsidered. So, here they are. The article is titled Coronavirus Crisis Brings These 4 ESG Stocks in Focus and is written by Zacks’ researchers. I found it on the Yahoo! Finance site.
I’ll mention the name of each company and then follow it with a quote.
1) Microsoft Corporation (MSFT) [it] has taken a leap in corporate social responsibility and supports its staff with regular pay even as several companies across the world have announced layoffs and salary cuts.
Microsoft’s expected earnings growth rate for the current year is 17.3% compared with the Zacks Computer – Software industry’s projected earnings growth of 3.2%… Microsoft carries a Zacks Rank #3 (which is a Hold).
2) Chipmaker NVIDIA Corporation (NVDA)… makes a mark among ESG stocks with a strict policy regarding conflict minerals.
The company’s expected earnings growth rate for the current year is 22.1% against the Zacks Semiconductor – General industry’s projected earnings decline of 12.7%… NVIDIA carries a Zacks Rank #3.
3) The Procter & Gamble Company (PG) [the company] provides branded consumer packaged goods. The company’s expected earnings growth rate for the current year is 9.5% against the Zacks Soap and Cleaning Materials industry’s projected earnings decline of 1.1%… The Procter & Gamble Company carries a Zacks Rank #3.
And 4) is NextEra Energy, Inc. (NEE). The company is responsible for the generation and supply of energy throughout most of the state of Florida through its regulated subsidiaries. Its ESG ratings have remained unchanged amid the coronavirus outbreak.
The company’s expected earnings growth rate for the current year is 8.1% compared with the Zacks Utility – Electric Power industry’s projected earnings growth of 3.6%… NextEra Energy carries a Zacks Rank #3.” End quotes
Here are the links to the free Zacks reports on these companies.
Well, these are my top news stories and tips for this podcast: Sustainable Investments Making Our World Better, over the past two weeks.
And to get all the links, stock symbols, and more, or to read the transcript of this podcast and with additional information too, please go to investingforthesoul.com/podcasts and scroll down to this episode.
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Do stay well and healthy – and stay wise with your investments in these troubling times.
Thank you for listening.
Talk to you again on May 8. Bye for now.
© 2020 Ron Robins, Investing for the Soul..