Growing Trend Toward Socially Responsible Investme
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- Louisiana-based Correlate Infrastructure Partners Inc. is a provider of proprietary clean energy assessment and solutions for improving facilities’ energy and water use and waste output
- CIPI’s Correlate, Inc. and Loyal Enterprises LLC (dba Solar Site Design) subsidiaries are building on a worldwide industrial trend toward environmental, social, and governance (“ESG”) factor improvement as governments and scientists express concerns over climate change
- Reports by global financial giants Bank of America and Morgan Stanley show an increasing interest in ESG-friendly investments and the potential for profit margin improvement through ESG measure implementation
- CIPI’s socially responsible platform helps corporate clients improve their balance sheets and do so in an affordable, cost-effective manner
A recent Bank of America analysis of 401(k) plan investments found a large number of eligible employees are not participating in the device for retirement preparedness, but sees optimism in the majority-side percentage trying to save for the future. Notably, the analysis also observed a trend among 401(k) participants in prioritizing “socially responsible” ESG investment (https://nnw.fm/dZrso ).
ESG — environmental, social, and governance — keys in on companies’ efforts to balance efforts to grow profits against a moral sense of duty to the earth’s climate and its peoples. One primary metric is company transparency on combating carbon pollution through responsible use of water and energy utilities.
The number of employees investing in ESG funds was 15 percent; a 50 percent increase since 2020, according to the Bank of America 2022 Financial Life Benefits Impact Report. It also found the average amount invested in ESG funds was $13,400 – a 30 percent increase since 2020. But only 11 percent of 401(k) plans provide focused funds for ESG investing, according to the analysis, indicating a possible lack of attention by investment managers thus far on the growth trend among clients (https://nnw.fm/BMxct ).
Proprietary clean energy assessment and fulfillment solutions provider Correlate Infrastructure Partners (OTCQB: CIPI) is helping companies to boost their ESG appeal and their consumer-directed transparency through Correlate Infrastructures’ two subsidiaries, Correlate and Solar Site Design. The companies’ platform uses data analysis and development and financing resources to provide advisement to clients on environmental impact reduction and the potential cost savings and profit increases the clients may see as a result.
Global financial services giant Morgan Stanley’s real estate investment (“MSREI”) managers estimate that “applying existing technology could generate annual savings in office buildings ranging from $32 million in Philadelphia to $239 million in New York City, thus creating $489 million and $4.8 billion of asset value, respectively,” according to a 2016 report (https://nnw.fm/NxjBW ).
The report predicted that growing global populations and climatological concerns will generate pressure on industries worldwide to adopt ESG-related best practices, particularly if governments begin mandating more socially responsible measures.
“MSREI managers estimate that landlords across the top 10 office markets in the U.S. spend nearly $7.4 billion on utilities each year. The MSREI team believes that a typical office building could reduce these expenses by between 3 and 30 percent,” the report stated. “While voluntary systems are opt-in, new regulations create sector-wide pressures on resource use in buildings. … Real estate portfolios that proactively manage sustainability factors have a better likelihood of being well positioned to succeed in an environment of increasing regulatory pressure.”
The report observed that “high-quality tenants” demand transparency in ESG-driven sustainability measures and that over 90 percent of the world’s largest 250 companies publish sustainability reports with their ambitious goals for energy, water and waste reductions. Correlate Infrastructures’ corporate plan is to make it easier for clients to achieve those goals.
For more information, visit the company’s website at www.CorrelateInfra.com, including the following:
Breaking Down Barriers To Your ESG Goals While Generating Additional Net Operating Income: www.CorrelateInfra.com/our-process
Platform Generates New Rent And Operating Income, Allowing You To Meet Your ESG Goals: www.CorrelateInfra.com/program
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