Environmentally sustainable investments and their minimum allocation in my Robo-Advisor portfolio
Environmentally sustainable investments are those that significantly contribute to environmental objectives.
Examples of environmental objectives:
- Climate change mitigation
- Climate change adaptation
- Sustainable use and protection of water and marine resources
- Transition to a circular economy
- Pollution prevention and control
- Protection and restoration of biodiversity and ecosystems
These investments typically involve companies or projects that actively work towards reducing their environmental footprint.
Setting a minimum allocation for environmentally sustainable investments means you are specifying a portion of your portfolio that will be dedicated to investments in companies or projects that contribute positively to these environmental objectives.