Green investments: profitable but not sustainable?

Giving meaning to one's investments.Investing responsibly while boosting one's portfolio of assets ...Green, sustainable, green, or responsible investments, whatever their name, have been growing in popularity for several years.private and institutional investors as well as the professionals who distribute them.

278 billion euros invested in sustainable funds in 2019

In 2019, the French invested nearly 278 billion euros in sustainable funds, (+ 86% compared to 2018) according to Novethic, the research and information center on socially responsible investment (SRI).In that year, 704 sustainable funds were created, an increase of almost 50% in one year.Among them, 117 new funds (263 in total) received the SRI label.investments in companies which participate in the protection of the environment, in the practice of a responsible activity and which take into account environmental, social and governance criteria (the famous "ESG" criteria).

Until now, the granting of this label was the prerogative of certain markets such as the equity market, but since July 2020, other investment vehicles have obtained authorization to be labeled SRI.These are alternative real estate investment funds (AIFs) such as real estate investment companies (SCPI) and collective real estate investment undertakings (OPCI).

SCPIs in search of meaning

As with the equity market, the players in the SCPI world aim to combine return, security and responsible conviction, a market today considered to be one of the investment pockets with the most optimal risk/return ratio.and who, although heckled by the various confinements, managed to save the furniture in 2020.With an average rate of return that remained at over 4% last year, the sector has shown surprising resilience, a boon for investors who can now invest in office or retail buildings that take ESG criteria into account in their construction.

Posted Date: 2021-02-18

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