Investing the environmentally-friendly way

Published on July 16th, 2013 by Andrew McBay.

That’s right! Nowadays even our investment strategies can, and really should, take into account their impact on the environment. But, as well as being good news for Mother Earth, this may be good news for your pocket too as your investments become environmentally smarter.

Here’s how…

1) Property investment
If property investment is your chosen strategy, the savvy thing to do is to offer your tenant(s) a property that’s cheaper to run energy-wise. If as a landlord you could offer a home that will save them 50-60% in energy costs, that property will be more desirable, lease quicker and generate a higher yield. The Tennant doesn’t necessarily care about whom they lease from, but they do care what they lease.

2) Ethical and responsible investment funds
It’s true that, in this day and age, eco-investing isn’t exactly a new or unusual concept. Put simply, it’s the practice of investing in companies that support or provide environmentally sound products and practices.

Most Australians are shrewd enough to know that the future of our world is a pretty important cause. But, as with environmentally-friendly property investments, this is also a win for you.

good news for Mother Earth… good news for your pocket        

The Responsible Investment Association Australia reported this year that ethical and responsible funds, which consider environmental factors when deciding which Australian shares to hold, outperformed ‘mainstream’ share funds. The fact is that ethical funds are now providing investors with BETTER returns.

However, it’s important to know that some ethical funds are greener than others and that your personal circumstances need to be taken into account. It’s, therefore, wise to get investment advice from an authorised advisor in this area. And this is where The Money Room can help, by making sure you speak to the right people for your individual needs.

To start the journey towards responsible AND savvy investment strategies, contact us NOW, we always know who to speak to.

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