Home › 6a) Gold & Monetary Metals › 6a.) GoldCore › Is ESG Investment the Future of Gold & Silver?
Permanent link to this article: https://snbchf.com/2021/04/flood-esg-investment-future-gold-silver/
Donate to SNBCHF.com
Donate to SNBCHF.com Via Paypal or Bitcoin To Help Keep the Site Running
Please consider making a small donation to Snbchf.com. Thanks
Bitcoin wallet: bc1qa2h6hgd0xkuh7xh02jm5x25k6x8g7548ffaj3j
Receive a Daily Mail from this Blog
Live Currency Cross Rates
On Swiss National Bank
-
USD/CHF gains ground near 0.8850, potential upside seems limited
9 days ago -
USD/CHF holds below 0.8950 amid Middle East geopolitical risks
2024-06-25 -
SNB Sight Deposits: increased by 2.4 billion francs compared to the previous week
5 days ago -
SNB Surprises the Market (Again)
2024-06-20 -
USD/CHF appreciates to near 0.8950 due to hawkish Fed, SNB Financial Stability Report eyed
2024-06-13
Main SNB Background Info
-
SNB Sight Deposits: increased by 2.4 billion francs compared to the previous week
5 days ago -
The Secret History Of The Banking Crisis
2017-08-14 -
SNB Balance Sheet Now Over 100 percent GDP
2016-08-29 -
The relationship between CHF and gold
2016-07-23 -
CHF Price Movements: Correlations between CHF and the German Economy
2016-07-22
Featured and recent
-
Canada’s “Worst Decline in 40 Years”
-
No exceptions, please!
-
#517 Wie viel ist dein Immobilienfonds noch wert? #fonds
-
Roboter – KI und Verdrängung des Menschen
-
Kamala’s Palace Coup
-
How to Invest in High Safety Corporate Bonds
-
7-26-24 Should You Tap Your Home Equity for Retirement Income?
-
UBS questioned by US Senator over $350 million tax evasion case
-
Lanz: Das Allein “beseitigt” keine AfD Wähler!
-
What Project 2025 says about the Fed
More from this category
Canada’s “Worst Decline in 40 Years”
26 Jul 2024
- No exceptions, please!
26 Jul 2024
- Kamala’s Palace Coup
26 Jul 2024
- What Project 2025 says about the Fed
26 Jul 2024
- Student loans are the ‘fudge factor’ that allows institutional profiteering
26 Jul 2024
- Socialism, Israeli-style
26 Jul 2024
Is the Dramatic Yen Short Squeeze Over?
26 Jul 2024
- Time to reject ‘social justice’ and replace it with real justice
25 Jul 2024
- Wall Street’s latest poison: Leveraged EFTs
25 Jul 2024
- A ‘smart city’ is a city plagued by high taxes and central planning
25 Jul 2024
Reich vs Reality: Free Markets Work Best
25 Jul 2024
Yen’s Surge Continues, while PBOC Surprises with Another Rate Cut, and US 2-30 Year Yield Curve Ends Inversion
25 Jul 2024
UBS questioned by US Senator over $350 million tax evasion case
25 Jul 2024
- Biden’s parting deluge of deceit deserves damning
25 Jul 2024
How westward expansion sowed the seeds of the Civil War
25 Jul 2024
Have we been living in an MMT world since 2008?
25 Jul 2024
- United in economic stagnation and false fears
24 Jul 2024
- Kamala Harris is awful
24 Jul 2024
Greenback and Yen Extend Gains
24 Jul 2024
- Biden is not running the government. So, who is?
24 Jul 2024
Is ESG Investment the Future of Gold & Silver?
Published on April 10, 2021
Stephen Flood
My articles My videosMy books
Follow on:
‘ESG’ is a great buzzword in investing right now. For years the momentum has been building for the idea that retirement savings should do more than keep you secure, it also should help the planet. Obviously, no one wants to hurt the planet since its our only home. ESG Investment is shorthand for Environmental, Social and Governance, which are the three lenses through which investments are to be ranked. High ranking companies get more money from investors than low rankers. The competition to rank high is fierce since having more investors is an important thing for companies. ESG is part of the broad socially responsible investing trend that focuses on development of a more sustainable financial system.
This quote from Civitas Post gives reference for the speed of growth seen by ESG investing within Ireland.
With nearly 100 Billion Euro forming up last year we should expect a portion of this money wanted allocation in physical metal, right? Nope. But it should.
In a Complex World…
Many of those ESG investment pools decided to own Tesla despite it making products that need mining of lithium and cobalt for batteries. Many funds also decide to own British Petroleum despite the thinking oil is bad for the planet. Few investors have qualms about owning Facebook despite the privacy breaches. The world is complex and so improving the world through money is not a simple idea. ESG investors are excited about helping others but not exactly agreed on what that means. There are more topics involved than just carbon, but ending oil is the most exciting topic in ESG today. Since mining companies use diesel for energy and chemicals for refining, they often rank poorly at ESG agencies.
ESG ranking is a relativity system. Companies produce annual reports describing how much carbon they saved or reduced. Investors use reports from ESG rating agencies to make decisions. ESG rating agencies compile public information to set their ranking. So information is available only on newly mined gold from producing companies.
Let’s take a moment now to imagine what such a physical bar company might be able to report. Possibly something like the statements below could come from our imagined CEO of Physical Bars in the Basement, Inc.
These three talking points that a CEO representing physical bars could make open the conversation of a compelling case that physical precious metals are contenders for the ESG crown. Should readers have their own ideas to add please share them.
Why Physical Metal is an ESG Investment
It is important to note that there is no single, accepted methodology for calculating ESG ratings. Various ratings agencies often have wildly different assessments of the same company. At a minimum this proves frustrating to investor interests. Further complicating the problem is the fact that most data used in ESG ratings looks backward.
Will your physical metals become the hottest ESG item going anytime soon? Not until investment promoters begin to expand their definition of what ESG really means. Until then the metals will do what they always do, wait patiently while conserving wealth without inflation or representation. Will your local bank ever put physical gold on its ESG approved investment list? Maybe if you send them this article.
Follow on:
No related photos.
Tags: Commentary,Daily Market Update,Featured,Investing,newsletter