Glossary

ESG Investing

DEFINITION

ESG investing is an investment approach that looks at environmental, social, and governance factors in addition to normal financial measures. It is based on the view that companies acting responsibly and sustainably may perform better over the long term, while also creating positive social and environmental effects.

ELI5

It is like choosing companies not just by money results, but also by whether they treat people, rules, and the planet well.

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Price-to-Earnings Ratio (P/E Ratio)

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Annualised Returns

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