Washington (GGM) Analysis | August 27, 2020 by Sarah J. Kings
European investing platform Beyond Investing– no relation to Beyond Meat– celebrated the second ‘birthday’ of its US Vegan Climate Index this summer. As the world’s first exchange-traded fund (ETF) focused on veganism and environmentalism, the US Climate Index (VEGAN) should be a ticker on your investor watchlist.
The US Climate Index avoids companies and business models that pose a threat to the environment. This means that they do not support animal exploitation or unethical business. In a press release published on June 16, 2020, Beyond Investing reported, “over its two-year live history, VEGAN has outperformed the S&P 500 Index…on a price return basis of 5.93%.” VEGAN outperforming the S&P 500 means big things for Environmental, Social, and Governance (ESG) funds.
When questioned about the future of ESG investing, Claire Smith, Beyond Investing CEO, shared some poignant thoughts with The Hill Report. “ESG investing will become the primary driver for investment. Investors are holding companies to higher standards and questioning the viability of unethical and polluting business models. It represents the opportunity to invest for the future that you want to see, as opposed to keeping your money shackled to the past.”
With a boom of awareness of veganism and sustainability in the US, and the success of companies like Beyond Meat and Tesla, new Initial Public Offerings (IPOs) are sure to be popping up. Investors in the US Climate Index can rest assured that each new IPO will be properly screened and vetted before being added to the fund. Smith said that she anticipates “more IPOs of ethical plant-based and cruelty-free food and lifestyle product companies.” She looks forward “to including them in our US Vegan Climate Index as replacements for those damaging companies that fail our screens.” As the demand for ethical investing soars higher, people looking to the stock market should consider the US Vegan Climate Index.
- European investing platform Beyond Investing celebrates two years of the US Vegan Climate Index
- As the world’s first exchange-traded fund (ETF), US Climate Index (VEGAN) is a ticker to watch
- VEGAN has outperformed the S&P 500
- CEO, Claire Smith predicts that more IPOs of ethical plant-based and cruelty-free food and lifestyle product companies are on the rise
- US Climate Index screens companies to ensure that only ethical businesses are added to the fund
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