Tuesday, January 12, 2010

Sustainable Investing and Long Term Thinking

The biggest challenge facing sustainable investing concerns the short-term orientation of investors. This short sightedness has significant negative repercussions for the global economy.

Investors that forgo value creation in favor of short term earnings damage economic vitality, hinder innovation and discourage leadership. Sustainable investing requires long term thinking, meaning years and not months, weeks or days.

A stock should not be selected based upon its short term yield potential. A stocks value can be measured in many ways including shareholder value, risk management and competitive advantage. It should also includes benefits to the environment.

To secure these types of returns, investors must consider stock belonging to companies that are positioned for the long term.

Next: Stock Review and Future Prospects: Solar, Wind, Geothermal, Energy Efficient (Smart) Grid, Energy Efficient Lighting

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Making Sense of All the Economic Data
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Green Investing Part 2: The "Green Wave"
Green Investing Part 3: Finding and Assessing
Green Investing Part 4: Top Green Funds and Resources
International Investing in Alternative Energy
Investing in CleanTech: Efficiency Upgrades and Renewable Energy
Green Bubble?

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