Take for example, purchasing a new electric car. When making the decision to purchase an electric car most people think of the carbon cost of building the vehicle and running it for a certain distance. However, another person might go further with their considerations to include the carbon cost of shipping the vehicle from overseas and then also the emissions from generating electricity. And someone else may consider the working conditions in the factory or the mine extracting the precursor materials as well.
Defining Green – How green is a piece of string?
We hear the term “going green” so much in our modern world. This originally began as identifying environmental sustainability, but it has evolved to include ethically sourced goods too. It seems though, that everyone has a different measure of green. Where should one draw the line?
Clearly, the definition of “green” differs depending on who you ask. This rings true in the financial world. We’ve seen an emergence of funds that claim to be ethical at a surface level and marketed as such. But as we’ve seen, their definition of ethical may not align with yours.
Would a company with fully offset emissions meet your standard? What if they were doing nothing to reduce emissions, relying on offsetting alone to meet neutrality? What if a company was caught underpaying workers?
This is where the thorough research and investigation done by a financial adviser is invaluable. We ensure that your personal values are represented in your investments. You should not need to compromise your ideals either knowingly or unknowingly, in any aspect of life, finance included. Good advisers can help you build your wealth, but great advisers will help you build a future.