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Pacifists may choose not to invest in companies that manufacture weapons. Environmentalists may choose to invest in companies that produce durable products from natural materials. Terms like sustainable investing, impactinvesting, and ethicalinvesting were used to describe this activity.
Another distinction is that ESG investment considers ESG factors to have financial implications, as opposed to only ethical ones. In other words, a positive impact is valued above financial returns. trillion… Current investment in these sectors is around US$1.4 trillion, leaving an investment gap of between US$1.9
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