Sustainable investing is investing with more than just profit as a goal. With sustainable investing, you have another goal in mind: acting in favour of people and the environment.
At MeDirect, we think it is important that you can invest in a way that is good for yourself and for the environment. We are convinced that sustainable investing does not perform any worse than traditional investing. We will go even further and say that a lot of studies have shown that the profit made with sustainable investing can be higher than traditional investing.
We are taking the necessary steps to make sure you can invest as sustainably as you would like. Your money, your way!
In today’s age, there is still a lot of confusion about what sustainable investing means exactly. Therefore, the European Union is currently introducing legislation around sustainable investing, called the “Sustainable Financial Disclosure Regulation” (SFDR). This legislation defines what sustainable investing means for the financial sector and how this should be communicated to investors. The legislation is still under development as we speak. One of the well-known proposals of the SFDR legislation is the categorisation of sustainable investment products under Article 6, Article 8 and Article 9.
There are differente levels of sustainable investing. You can choose to not invest in companies that are bad for the environment and for people. This is called exclusion. You do not contribute directly to good initiatives, but you do exclude the bad ones. Think for example about excluding producers of fossil fuels. These investments are also known as Article 8 investment products.
If you would like to take things one step further, you can choose inclusion. This means that you only invest in companies that are positively contributing towards the environment and people. Think for example about investing in sustainable energy. These investments are known as Article 9 investment products.
These investments do not have any sustainability criteria.
Bad investments are excluded. The main goal is still to make profit, but with as few negative repercussions on the environment or people as possible.
These investments have clearly defined sustainability criteria and follow the inclusion principle. Sustainability goals have the upper hand. Making a profit often comes second.
Would you like us to invest for you? We will do that based on the Article 8 investment products of the SFDR legislation. These products promote the ecological and/or social characteristics of the investments. These characteristics are included in the investment policy. More specifically, the companies invested in take into account what impact they have on the people and the environment.
If you invest by yourself, you can choose from a wide range of equities, investment funds and ETFs. Find the classified Article 8 and Article 9 investment funds and ETFs easily thanks to our filtered search options. Around 25% of all our investment funds and ETFs are classified as Article 8 or 9. We also continue to expand this offer. Thus, there is plenty of choice for you to invest sustainably!
As the world confronts challenges on many levels, MeDirect continues to make every possible effort to play a positive role in the communities in which we operate. Whether it is protecting our environment, promoting diversity and inclusion, helping those who are vulnerable, or providing financial literacy education, our aim is to promote sustainability within our operations and in society.