GUIDING THE WAY

Did you know there are number of ways in which you can invest considering other factors in addition to financial returns?

With the dramatic increase in sustainable, responsible, impact investing (SRI) options, it has never been easier to build a portfolio designed to do well and do good. Our team can help you incorporate particular investing strategies to better align your personal portfolio design with your very own specific objectives and passions.

 

Strategies could include:

Values Based Investing – Involves excluding investing or profiting from business activities that an investor would prefer not to be involved with. An example would be avoiding companies that manufacture and sell cigarettes.

Environmental, Social, Governance (ESG) Investing – Involves analyzing companies to determine how they are addressing environmental challenges, treating employees, being a good corporate citizen, and having good corporate governance policies in place.

Impact Investing – Targeted investments designed to accomplish a specific objective, often in partnership with non-profit entities. Examples would include investing in a green bond where proceeds are used to transition to solar power, or a bond issued by a community development financial institution (CDFI) where proceeds are used to support an affordable housing project.

Donor Advised Funds – Donor Advised Funds allow investors to make charitable contributions (including low basis positions in-kind) in the current tax year, have the amount invested to grow, and then make grants to charities over time. One advantage is that it creates a centralized giving account and allows for annual charitable contributions to be made even if the donor has not made a final decision on how to divide the funds among various charities.

Charitable Trusts – Charitable Trusts can be used in the overall estate planning process where donors want to have the residual principal balance of a portfolio donated to a non-profit of their choosing after their passing.

Please reach out to a Compass Investments Advisor to let us help navigate your routes of incorporating one or more these strategies into your portfolio.