RRSP Season is here, are you saving wisely? In this article by MoneySense, we learned that a “whopping 60% of the typical [Canadian] portfolio is being held in cash–far too much to meet most retirement needs when you factor in record-low interest rates and inflation.”
This trend seems to be mirrored in ZooShare members as well: When asked, “Not including ZooShare, where do you invest?” 56% of ZooShare investors said “In my savings account”.
In the MoneySense article, when people were asked “why [they] were sitting on so much cash, the majority cited accessibility and/or convenience”.
Well, we’ve made it easy for you: Here’s a list of 3 resources to learn how you can align your investment portfolio with your values and perhaps earn more by becoming an impact investor.
Disclaimer: we are not legally allowed to offer financial advice, so please do your own research and speak to a professional. These suggestions are just starting points!
1) Read this:
The Responsible Investing Association recently published their Guide To Responsible Investment. It’s available online and chockablock full of great articles like “Climate Change and Responsible Investment” (page 12) and even features a list of Responsible Investment Funds (page 23).
2) Research these:
Since 60% of ZooShare members also invest in Mutual Funds, we thought it would be useful to share these recent developments:
- NEI has recently announced plans to launch a new fund called the NEI Environmental Leaders Fund. The fossil-free fund will invest in companies providing solutions to environmental problems (focusing on energy efficiency, alternative energy, waste management, water, and sustainable agriculture).
- IA Clarington’s Inhance Global Equity SRI Class has divested from fossil fuels.
- OceanRock’s Meritas SRI Funds are the only mutual funds in Canada with an impact investing component. A portion of all portfolios is allocated to “Community Development Investments”. Read more here.
In addition to the funds listed above (and in the Guide), here are EVEN MORE responsible funds you can talk to your financial advisor about (if you have one) or research yourself. PS: If you don’t have a financial advisor and you’re looking for someone who knows about responsible investing, the RIA has an online directory of advisors.
3) Buy a Community Bond!
And of course, ZooShare is now offering a new series of bonds that are construction risk-free and earn 5% each year for 5 years. Help generate renewable power, reduce greenhouse gas emissions, and return nutrients to the soil. You can learn more about our newest bond offering by clicking here. There are also other options to diversify your community bond portfolio, like:
Happy responsible investing this RRSP season!