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They can also lead in the adoption of best practices, such as governance, transparency and ethicalinvestment. However, investing in socialsustainability has several challenges, including difficult geopolitical environment in many countries, as well as a perceived lower rate of return and higher risk.
Commitment to engagement One way in which the region’s investors have moved in a similar direction is their evolution from the earliest days of ethicalinvestment – which were defined in terms of exclusion, i.e. what not to invest in.
Increasingly, Indigenous people and non-Indigenous allies, via consumer activism and ethicalinvesting criteria, are having a significant impact on the economic bottom line of companies that do not source their raw materials in a manner that is environmentally and sociallysustainable.
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