Views from Clim8’s investment deck: Why we don’t invest in Big TechVincent Gilles
Chief Investment Officer
December 08 2020 Sustainable Investing
Why we don’t believe in Big Tech
At Clim8 Invest, our goal is to offer our clients portfolios that make a positive impact on the environment. Our selection of actively managed funds and ETFs that have been designed with an investment philosophy we share and an above-average thematic exposure to our six core investment themes: Clean Energy, Clean Tech, Clean Water, Circular Economy, Sustainable Food and Clean Mobility.
These financial products are not invested in big techs (as of end-of September 2020). We select our investments with extreme care and a shared ethos on crucial points, such as avoiding Big Tech.
Solutions to climate change vs. Do less harm?
We struggle to see how Big Tech companies offer solutions to the demands of the circular economy; or how they participate in the development of clean energy. Their absence across our portfolio is, in our view, testimony to our high standards of due diligence and fund selection process.
Clim8 Invest’s mission as a sustainable investor is striking the right balance between:
– The ‘What’ (what are the products and services and how can they be solutions to address our six investment themes);
– The ‘How’ (how companies are behaving as corporate citizens, and notably take good care of the environment).
Climate commitments: a starting point
Does it mean Big Tech cannot become environmental stewards over time? Of course not. By decarbonising through specific pathways, and leveraging their extensive financial resources to implement bold measures we believe Big Tech can become leaders of the transition economy (the substance of this article).
At least when it comes to tackling the ‘How’, they have the power to perform extremely well. The ‘What’ however, remains the missing piece. For now.
The Clim8 Investment Team
Investments of this nature carry risks to your capital. Investing in equities involves a high degree of risk. This information is for illustrative purposes only and it must not be construed as investment advice.