Responsible investments for your portfolio
BMO ETFs combine the power of ETFs (Exchange Traded Funds) and the convenience of mutual funds in one low-fee investment. Further, they are made affordable with a $500 minimum investment or as little as $50 each month. They are also diversified across different sectors and types of investments.
Moreover, sustainability is a top-of-mind topic for many people, as is investing in companies that align with those sustainability goals. Additionally, more investors are carefully considering which investments suit their values – 79% are interested or actively investing in socially responsible companies.
Environmental, Social and Governance (ESG) are factors that provide a framework for breaking down the concept of sustainability into the three primary areas of responsible investing.
Here are some ESG factors to consider when researching funds:
- Consider if the fund has ESG factors or if it targets a specific theme
- Understand how the fund excludes companies, and ensure that any holdings align with your values
- Review their proxy voting history to see their active ownership as well as engagement
- Look at how the fund is rated by external agencies in terms of their ESG scores
If you are looking to add ESG ETFs to your self-directed portfolio, BMO has expanded the range of ESG ETFs including the BMO Balanced ESG ETF (ZESG) and are available through any online brokers.
"There's lots of research that show how incorporating ESG factors alongside traditional financial metrics and portfolio analysis can have a positive impact on performance," says Sr. Product Manager, Erin Allen.
For more information on Bank of Montreal ETFs (TSX: BMO, NYSE: BMO) please click on the request investor info button.