What’s the Fuss about Impact Investing

If you happened to catch any financial news lately – or your private plane made a quick stop in Davos, Switzerland last week for a ski getaway with a side of economic banter among the world elite during the World Economic Forum – you couldn’t avoid wondering if suddenly everyone woke up one day and said, “Hold up, we should actually care about this planet.” What happened? 

When the “old guard” suddenly changes its tune, I like to play the game: Follow the Money.

Altruism aside, what could make a multibillion-dollar money manager wake up one day and choose to drive a Tesla instead of a Rolls Royce? Invest in renewable energy instead of “old faithful” – fossil fuel? 

The answer, of course, is money. An investor’s job is to try and see the future, forecast trends and move in before the market has shifted. The trend is clear: impact is no longer a subsection of the economy, it is a theme that will be prevalent in every company in the future and will influence winners and losers in the market. 

At CoPeace, we acknowledge that impact investing is no longer a trend. It’s a constant. Instead of focusing on companies that do “less bad” and are trying to squeeze into the impact space, we look for the impact disruptors – the winners of tomorrow in the fight for our planet and the fight for success. Companies founded with the sole purpose of positive impact and sustainable profit. 

There are many possibilities. If done thoughtfully, we can have a positive impact with consumer packaging on our precious planet. So let’s consciously decide together to work towards the change.

Hanan Levin is a Senior Investment Advisor at CoPeace. As a forward-thinking holding company, CoPeace is building a portfolio of carefully selected for-profit companies with measurable social and environmental impact. To learn more about impact investing, check out CoPeace’s Intro to Impact Investing.