So you’re a curious investor, and you’ve come across the term SDG but you don’t know what it means. Or at least what it means for the future of investing.

Well firstly, we’d like to congratulate you on having gone further than most down the rabbit hole.

Because UN SDGs might well end up having a great impact on the future of investing, and we will be showing you how you can practically use them to meaningfully track the impact of your portfolio.

What are UN SDGs?

‍

UN SDGs are a set of 17 global goals that were adopted by the United Nations General Assembly in 2015. They are a blueprint for achieving a sustainable future for all, and they cover a wide range of issues, including poverty, hunger, health, education, gender equality, clean water and sanitation, affordable and clean energy, and decent work and economic growth.

When you think about it, these goals are pretty much what we all want for ourselves, our families, and our communities, right? A world where no one goes hungry, where everyone has access to clean water and healthcare, and where we all have the opportunity to lead fulfilling lives. 

The UN SDGs are a way for us to work together towards these common goals, and have proven themselves to be effective in unifying action with:

1. Clear and measurable targets

2. Engagement from governments, private sector, civil society, and individuals

3. High level of global visibility

4. Platform for collaboration

5. System for monitoring and reporting progress on the goals

6. Engagement across multiple sectors, such as health, education and economic development.

What does this have to do with the future of investing?

‍

As the world becomes more urgent in tackling issues that concern the well-being of us all, having a unified blueprint becomes more important than ever. So far, we haven’t seen anything better than UN SDGs goals.

They are clearly defined, with measurable goals that companies can align themselves with and investors can keep track of impact with.

By taking into account UN SDGs as non-financial factors, investors can achieve both financial returns and positive social and environmental impact. 

For example, you can invest in companies that are working to achieve SDG 7 (Affordable and Clean Energy) by developing renewable energy sources. Or invest in companies that are working to achieve SDG 8 (Decent Work and Economic Growth) by promoting fair labor practices and supporting the development of small and medium-sized enterprises.

This creates a new paradigm where your influence as a shareholder can encourage companies to adopt sustainable practices and disclose their impact performance. This helps to promote transparency and accountability and aligns the actions of companies with the UN SDGs to build a world which is better for you as an investor, but also for people and the planet.

How to do UN SDG investing 

‍

Okay, you’re thinking, this all sounds great. 

But how do you actually invest with UN SDGs in mind?

Well, the cool thing is that many companies have now started to align themselves with UN SDGs, and even more important is that they have been tracking how much their revenue aligns with these goals.

That means you would know for example that a company has 27% of its revenue in alignment with SDG 7 (Ensure access to affordable, reliable, sustainable and modern energy for all). It’s a convenient way to get a holistic view of where their money is coming from.

That way you can invest more easily in areas which you believe have a future from a financial perspective, and also invest in things which align with your values. Now that’s powerful.

Unfortunately, most investment platforms do not give you the tools or knowledge to get ahead on UN SDGs and the future of investing.

Thankfully, we do.

GOODFOLIO firstly makes sure to screen for companies which either;

1. Provide transparent data on Greenhouse gas intensity or,

2. UN Sustainable Development Goal revenue alignment data.

But we go much further than that, by aggregating the company data in funds to provide you with an overall picture of how your portfolio aligns with UN SDGs. That means you don’t have to do the digging, nor do you need to manually update yourself. We do that for you.

GOODFOLIO is the future of investing

Hopefully, we’ve managed to give you a decent overview of what UN SDGs are and how they relate to the future of investing.

If you’re interested in joining the zeitgeist, we would love to have you sign up to GOODFOLIO and check out all we have to offer. There is no minimum investment required and sign up is totally free.

Aside from everything you expect from your investment platform, we offer:

1. Fast sign up - onboard in less than 10 minutes‍

2. Good ETFs - All funds are screened to meet our transparency and sustainability information standards

3. Impact reporting - up to date reports including UN SDG revenue alignment

4. Cutting edge tools -  Comparison tools to invest in ETFs based on impact, risk and returns

5. Sustainable ISA - create a new ISA or transfer your existing one with our help

6. Great customer support - we are always here to help!

Join the future of investing and start your free GOODFOLIO account today!

As with all investing, your capital is at risk.