Invest With Their Values
Client's Values Are Important in Investment Decision Making
Money Matters' clients want to take account of their values in their investment decision making. They want to bridge the gap that would otherwise exist between their money and their values. They reject the conventional notion that money is value-less, classifies them as ‘Homo economicus’ and holds that a person’s sole aim is to maximize short-term profits. They see the damage to investor’s wealth and wellbeing and to society and the environment caused by the ‘greed is good’ mantra.
Rather than harming society and the environment, Money Matters clients want their investments to be part of the solution rather than part of the problem. They want their money to be invested with the most responsible business leaders and excluded from businesses that are causing harm and/or want their money to be used to engage with these businesses to encourage them to be more responsible.
Courage was the first virtue listed by Aristotle. Courage is displayed by responsible investors who refuse to accept the argument that the only social responsibility of investors and business is short-term profit maximization. By taking a stand for responsibility, Money Matters' clients are taking up the challenge issued by leading author James O’Toole, who maintains that courage is the essence of greatness and that this virtue not only serves investors, business and society but is critical for the survival of capitalism. While most people in their heart of hearts care, a relatively small proportion have the courage of their convictions to care enough to invest responsibly.
Caring through having a genuine concern and through attention to the wellbeing of others and the environment is another fundamental value for Money Matters' clients. They are looking for businesses in which they invest to demonstrate care for stakeholders including customers, employees, suppliers, the community and the environment. This demonstration of care by businesses is the glue of organizational life – an attitude that provides employees and other stakeholders with a real sense of connection to, and support from, the business. This in turn provides a strong bond with the business and a reason for sticking with it and also caring about its well-being.
The challenge and opportunity for all investors is to identify their values and bring them into the financial arena.