ESG investing — the practice of investing in funds that prioritize environmental, social and corporate governance criteria — is, without question, on the rise. According to a Bloomberg Intelligence report, global ESG assets are set to exceed $53 trillion by 2025, which represents more than a third of the $140.5 trillion in projected total assets under management.
At Betterment, we’ve seen customers clamor for ESG investment options and have launched three socially responsible investing portfolios to date. This has been the fastest-growing portfolio ever launched on our platform, passing $100 million in total assets within the first three weeks of its launch. In short, we’re seeing exactly what’s being reflected across the industry. Investors are hungry to put their money into companies that aren’t just sound investments, but are also making a positive and ethical impact on the world around them.
