"Sustainability Investing" for investors sensitive to environmental issues has been around for some time. However, investment performance typically has suffered due to the required elimination of profitable companies and industries that may not meet strict screening criteria and guidelines. After some extensive due diligence, we believe we can now effectively address both of these concerns with our DFA Core Sustainability Portfolio strategies. For example, the Core US Equity Sustainable Fund invests in companies with 79% less greenhouse gas emissions than its respective index fund. This translates to a reduction of 53 metric tons of CO2 a year for a $1 million investment (source: Dimensional Fund Advisors).
We have developed portfolio models of varying growth/risk parameters that utilize Dimensional Fund Advisors (DFA) Core Sustainability funds. There is now enough convincing data and diversification options available to provide us with a high level of confidence that we can effectively implement these strategies to help accomplish our clients' long term financial goals.
Click the links below to access more detailed information regarding Sustainability Investing with HDR and Dimensional Funds. As always, let us know if you have any questions or would like to discuss this investment approach in more detail.
The Sustainability Opportunity Report
Sustainability Investing with Dimensional Funds
Kestra Investment Services, LLC and Kestra Advisory Services, LLC are not affiliated with HDR, Dimensional Funds, or any other entity listed.