Doing Right by the Planet: How You Can Make a Positive Impact With Your Investments

Are you passionate about investing your money in a way that supports the planet as well as your financial future? You’re not alone!

Four out of five people are willing to pay extra for pensions and investments that help the planet, provided they don’t compromise on returns. (Omnibus from RedC on behalf of Irish Life, 2022) 

With climate change and economic inequality becoming sources of anxiety for many of us, you may wonder how you can invest in a way that aligns with your values. How can you be sure that your money isn’t contributing to causes you’re against? Responsible investing is possible, and it’s a cornerstone of our commitment to build better futures. But what does responsible investing really mean – and how can you be sure your money is used to make a positive difference? 

What is responsible investing?

Responsible investing is a powerful way to do your bit for society and the planet.

It involves investing in companies or funds that promote environmental and social responsibility while still aiming to deliver the best possible return on your investment. In this way, your money is helping to build a better, more sustainable future for everyone. 

How can I invest more responsibly in Ireland?

Investing in a better future is easier than you might think. By working with an investment provider that chooses a responsible investment approach, you really can make a positive impact on the planet. 

If you have a pension or investment with Irish Life, you’ll be glad to know that your money may already be invested in a way that positively influences the world we live in. This means you won’t have to worry about choosing an investment fund with a responsible approach yourself – we do it for you. 

Our commitment to responsible investing began in 2010 when our main investment manager Irish Life Investment Managers (ILIM) was among the first companies in Ireland to sign up to the United Nations Principles for Responsible Investing (UNPRI). Since then, ILIM continues to be a leader in responsible investing in Ireland. 

We follow three important steps to ensure your money is invested in a more sustainable way:  

1. We invest less in companies that exhibit poor behaviour and are harmful to the environment or society 
2. We exclude companies whose products cause harm such as weapons, tobacco and thermal coal or whose production causes significant harm such as tar sands and arctic oil 
3. We invest more in companies that try to help the environment, such as those that produce less carbon emissions or are involved in the new green economy and carbon solutions 

When it comes to those companies your money is invested in, we also try to positively influence them on all environmental, social and governance (ESG) matters.  

In fact, ILIM has almost €40 billion invested responsibly (Source: ILIM, December 2022). So, while you’re saving towards your future, you’re also helping to build a better planet when you invest responsibly. 

If you’re curious to know how much good an Irish Life Assurance pension or investment can do for the world in real-life terms, check out this handy carbon impact calculator. Choose a fund with a responsible investing approach to see how your contributions could help to reduce carbon emissions. 

Are you ready to invest? 

Responsible investing may seem a bit daunting at first – there's a lot to wrap your head around! Thankfully, you don’t need to be an experienced investor to get started. If you want to speak to an Irish Life Financial Services financial advisor about investing, book an appointment for a time that suits you. They can discuss what matters most to you when it comes to where your money is invested and can walk you through the investment options right for you. 

Or, if you’d like to start investing today, check out Smart Invest. Smart Invest was launched in 2021 by Irish Life. At the start of your journey with Smart Invest, you’ll be asked questions about your level of comfort to risk to figure out what type of investor you are, including questions on your responsible investment preferences. Using your responses, an expertly managed plan will be recommended to get you started investing today in a way that aligns with your climate values. 

Learn more about investing in Ireland with Smart Invest