Ethos ESG

Lately, the interest of investors and shareholders is growing rapidly around environmental, social, and governance (ESG) portfolios. Part of the reason is the noticeable increase in natural calamities such as wildfires, hurricanes, and the pandemic. Another reason for the growing interest in ESG is conscious consumerism. Today, consumers prefer organizations and brands that care for the environment and society. This reality has encouraged numerous organizations to adopt sustainability practices and become involved in social issues.

Today, many people and institutions seek ESG investments, causing financial advisors and asset managers to work around the clock to support them. Asset allocation for ESG, after all, is not an easy task. It requires relevant experience, suitable technology, and informed people who understand finance and sustainability. Ethos ESG, a Minnesota-based financial technology company, was founded on three fundamentals-experience, technology, and people-to help financial advisors and asset managers meet their ESG goals. "We create a personalized and tailored experience for our clients that care deeply about ESG and aspire to make the world a better place", says Luke Wilcox, Founder and CEO of Ethos ESG. Ethos ESG believes in the ethos of teamwork and clear communication to help its clients drive maximum value from their ESG portfolios.

ESG has become an integral part of the business world in recent years. According to a study by KPMG, around 80 percent of companies now report on sustainability worldwide, up from 12 percent in 1993, while assets under management in ESG funds have grown to $330 billion in 2021. Ethos ESG is riding this wave with its software and solutions that facilitate investments supporting sustainable and social goals.

Data management is the most significant challenge financial advisors and asset managers face in managing ESG portfolios. To help them manage this overwhelming amount of data, Ethos ESG created a methodology to collect and process information, making it transparent and credible.

Using clear insights, advisors can seamlessly assess client portfolios and evaluate the impact their money has made on society. Ethos ESG creates easy-to-understand reports that communicate meaningful stories to clients.

Ethos ESG works closely with wealth managers representing people and organizations seeking to maximize the impact of their investments. It allows asset allocators to understand clients' needs and share clear data points. After all, a client wants to understand how their investments affect the causes most important to them and what more they can do to maximize their impact. Keeping this in mind, Ethos ESG invests considerable time analyzing and diagnosing portfolios to evaluate alignment with commonly accepted frameworks such as the United Nations Sustainable Development Goals and the Paris Climate Accord.

Ethos ESG's due diligence and screening technology allows advisors to reposition portfolios to maximize impact. After evaluating portfolios, Ethos offers clear insights into the alignment of an investor's portfolio and their values. Whether it's climate change or gender equality, Ethos ESG supports wealth managers at every step to make decisions that offer the best results.

Ethos ESG begins its work by providing advisors with an online Impact Assessment. This questionnaire quantifies and catalogs client's values and goals, allowing for bespoke portfolio analysis and reporting. Wealth managers can share this set of questions with their clients and potential leads looking for someone to manage their ESG funds. This way, Ethos ESG can start meaningful conversations regarding an investor's values and how they might want those reflected in their investment portfolio.

Since its inception, Ethos ESG has focused on innovation and being responsive to customer needs. Going forward, they want to break down the barriers and misinformation preventing many wealth managers from providing sustainable and responsible investment portfolios by providing technology that educates and inspires confidence in the growing ESG investment movement.