This could well be the year Canada
goes green, big time. Stéphane Dion will doubtless
put the environment and sustainability at the centre
of the Liberal platform if an election is called this
year. Even Mr Harper — with the political hairs
on the back of his neck standing up to be counted —
has heeded Brian Mulroney's advice and begun to shift
the Conservatives in the same direction. Election talk
aside, there's sure to be more money poured into cleaning
up our air and water — and that means new investment
opportunities.
Concerned doctors, of course, need
no such urging and already put their money where their
hearts are, as do tens of thousands of other Canadians.
The Green investment community is already well established.
It's no longer necessary to hold your nose and invest
in industries that you know are poor corporate citizens,
either as polluters or socially backward exploiters
of their own workers, or those of overseas suppliers.
Even five years ago, unearthing
truly green investment opportunities was a challenge.
That's certainly not the case anymore. Today there are
brokers and financial advisers across the country ready
to help you move toward more socially responsible investments.
HOW
TO GO GREEN
Don't know where to start? Point your browser to http://www.greenontario.org/buygreen/invest.html.
The site, supported by The Conservation Council of Ontario,
offers virtually one-stop shopping for environmentally
sound investments across the country.
One of the first places you'll
be directed to is the Social Investment Organization
(www.socialinvestment.ca.)
It's a national non-profit organization "dedicated to
the advancement of a socially and environmentally sustainable
society through socially responsible investment (SRI)
and corporate social responsibility (CSR)." Bang on
the money, the site directs you to a host of like-minded
souls in every province. Sign up to receive their monthly
newsletter and a host of other services.
You'll also want to visit http://www.jantziresearch.com
where, among other things, you'll find the Jantzi Social
Index, which has been rating companies on their environmental
and social responsibility since 2000. Sixty companies
that meet the test are listed.
If you're wondering how your present
portfolio stacks up, go to http://www.ethicscan.ca/.
Ethics Scan Canada Ltd has rated
over 1,500 Canadian companies on the way they do business
here and overseas. They'll even do a search on companies
that aren't listed if you join up.
For something more palpable, you
can pick up a copy of Good Money or Corporate Knights,
magazines devoted exclusively to good corporate citizenry.
EARTH-FRIENDLY
FUNDS
The simplest way to green up your portfolio, of course,
is by moving your investments into mutual funds that
support green companies. In the past, you'd have taken
a bit of a hit, but no longer. There's now plenty of
help available to keep you on the straight and narrow
and get a competitive return at the same time.
Canadian funds with a conscience
have been particularly effective. For example, the Acuity
Social Values Canadian Equity was up a solid 15.5% for
the 5 years ended September 30, 2006, against a market
average for the period of 11.3. Meritas Jantzi Social
Index was up 10.9% and Desjardins Environmental also
beat the average with a gain of 13.1%. In "Small to
mid cap equity funds," Ethical Social Equity returned
a whopping 24.9% in the latest five years against the
small cap average of 18.9.
US companies fared less well. US
equity funds rose only 0.3% in the same period with
so-called ethical funds performing below even that modest
gain. Globally consider GWL Ethics (NL), which was up
13% against an average for specialty funds of 9.6.
These and a host of other comparative
performance rankings can be found at http://www.socialinvestment.ca/documents/SRIMutualFundsSept2006.pdf.
THE
GREENEST BANK
The most socially responsible bank in the country was
also the most profitable. The Corporate Knights ranked
the Royal Bank of Canada (RBC) among the top 100 of
the world's most socially responsible corporations (http://www.corporateknights.ca/).
RBC has also topped the Globe & Mail poll
for the company with the most corporate social responsibility
for ten years running. With annual earnings of $4.6
billion, RBC recently reported "donations" of $59 million
to community causes and sponsorships here at home and
in the rest of the world.
Investors will be taking increasing
interest in corporate responsibility from now on, so
make your own move for the good of the globe and your
conscience. On a more grassroots level, consider joining
TD Canada Trust's Friends of the Environment (http://www.td.com/fef/overview.jsp).
For as little as a dollar a month, you'll support sound
causes and the bank will help by kicking in $1 million
a year.
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PHYSICIAN LIFE
