The Rise of Rational Sustainability: Navigating the Challenges and Tricks in Sustainable Investing
Published: 2024-01-22Investors are being told to think about a new way to invest in a sustainable way because there are problems with ESG funds. After a year of people taking their money out of US sustainable funds, experts are suggesting “rational sustainability” as a middle ground between giving up on ESG investing and continuing with it.
ESG investing has had problems like political pushback, changing the names of products, and not doing well. Because of these problems, ESG is being given a new name and companies are using new ways to show how they are sustainable. But it’s important to know that there might be lies, misrepresentation, and fraud in sustainable investing.
One problem with sustainable investing is greenwashing, which is when someone lies or gives false information about how good a product or company is for the environment. Greenwashing can involve lying, tricking people, and false advertising because companies want people to think they are good for the environment. This is a sneaky way to trick people.
There are other words like eco-washing, sustainability washing, and whitewashing that are used to talk about lying in green marketing. These words show that companies might not be telling the truth about how sustainable they are or they might use words that sound good but don’t mean much. These tricks are often used by companies that are greenwashing.
It’s very important for women in their middle age who have kids and care about the future to know about these tricks. Knowing about the problems and tricks in sustainable investing can help them make good choices and not fall for greenwashing.
Rational sustainability is a good way to figure out sustainable investing because it looks at facts and the long-term value. By thinking about everyone involved and understanding that there are tradeoffs, investors can help make the future more sustainable without falling for greenwashing or false advertising.
To end, sustainable investing is changing and there are problems and chances to do better. It’s important for investors to stay informed and be careful of tricks. By using rational sustainability, investors can make good choices and help make the future more sustainable.
https://www.forbes.com/sites/bhaktimirchandani/2024/01/22/as-some-investors-walk-away-from-esg-what-comes-next/