In the investment world, certain acronyms that characterize the properties of investment, beyond the risk-return ratio (a key factor), are gaining strength. Terms such as ESG, CSR, IRS, OMG, SASB, TCFD, etc., are already a reality for large companies. These terms, of course, condition the rest of the actors in the investment field. In most cases, these are not regulations, but business initiatives issued to differentiate themselves from the competition with a legitimate, credible and necessary purpose. The aim is to find a socially responsible investor, a loyal and sustainable bond, to help soothe our consciences.
I think it is difficult to find any drawbacks to the model, except one: The development and global growth depend on small companies that do not have the means or the knowledge to be ESG, they are necessary, as they constitute our business basis. However, if everything is of one color, some of them will have problems receiving funding in the near future. This trend is unstoppable and necessary, but it must coexist with all shades of color, sometimes even, unfortunately, with some black.
Today, with the freedom and transparency in choosing what we invest in, there should be information on the type of company in which we invest. For example, a standardized ESG “rating” (a criterion that some of us will consider important when building our investment portfolio) that diversifies according to our risk aversion and target return, but that also considers how our investment can help the global economy in micro terms, employment, security, healthcare, etc. In short, a criterion that considers society as a whole and environmental sustainability.
In this respect, Fellow Funders commits to provide information and develop or adopt a rating for ESG projects, and to have projects that meet ESG requirements. This way, we can build a balanced portfolio in almost any sector, without neglecting other interesting and profitable projects.
Without going any further, this week we will successfully close Aura Robotix, (112% funded), a company that helps to improve the lives of our elderly with neurodegenerative problems, thanks to non-invasive early detection.
This week, we will be launching EasyCharger, a company that implements electric charging stations on national roads, promoting clean energy from renewable sources, making it easier to buy an electric car thanks to charging points outside the big cities.
Foodinthebox, a project that promotes the consumption of balanced food and the elimination of excess and waste products, will be announced in the next few weeks.
Fellow Funders expects that projects of the quality of the latter will continue to come in. Feel free to contact us to send projects or receive information about investments in interesting, profitable and sustainable projects. We want to build community, a symbiosis between smart investors and successful entrepreneurs – we count on you!