This week, we’re bringing intention into investing. Whether or not you realize it, the money choices you make can have a profound impact on your life as well as on the world around you. To be intentional about investing, we want to think about two things - why we’re investing and what we’re investing in.
To answer the question of why are you investing, let’s bring back your core values list from last week and get clear about your financial goals. What is driving you to invest? Having concrete financial goals that you’re working towards makes investing more tangible. It can also help you to see how much is enough. Otherwise it may feel like you’re just investing to invest, on the hamster wheel of forever growing your account, but to what end? I like to remind myself that an account size is just a number on a screen. The number might make you feel good (or bad), but it likely won’t mean much until you put it to use.
Knowing your financial goals are also important in helping you figure out what to invest in. You know us, we’re huge proponents of sustainable investing. Sustainable investing is an investment strategy that incorporates “environmental, social and corporate governance (ESG) criteria to generate long-term competitive financial returns and positive societal impact.” With this type of investing it’s possible to achieve your financial goals while also making a positive impact on our world. If you have any investments (this includes 401ks), it is very likely that you are currently invested in problematic companies such as private prisons, tobacco, guns, and fossil fuels even though you may not even know it. If you're not sure, here's how you can find out if you're invested sustainably. Let’s make sure we’re being intentional about our investments and using our money to support companies that align with our values.
How do you bring intention into investing? Let us know, we'd love to hear from you!