For the next few months, our friends and Net Impact members at HIP Investor will be contributing posts to help you break into the field of impact investing, learn how to measure impact across all types of investments, and find great places to work.
Want to work for a company that delivers positive environmental and social benefits while remaining profitable, i.e. employable? Would you like to be part of a large organization with management practices that are considered attractive by all types of impact investors? Perhaps you want to work as a sustainability investment analyst?
One way to find these companies is by perusing indexes, such as the S&P 100, a subset of the S&P 500 (maintained by Standard & Poor’s), featuring 100 of the largest companies in the United States. Impact investors often take a closer look at investment indexes to determine if the companies listed are creating value in a socially and environmentally responsible way.
At HIP Investor, we have reweighted companies in the S&P 100 (as well as 4,500 corporate stocks and bonds) and created a human impact index called the HIP 100. Some of the leaders of the HIP 100 include technology companies like Microsoft (MFST) and Intel (INTC). These companies embed solving human problems into the products and services they deliver, which are accessible to people around the world.
The lower weighted members of the HIP 100, such as Halliburton (HAL) and Exxon Mobil (XOM) may deliver benefits of energy production, transportation, and production of materials such as plastics, but they include high consequences for society and the environment. These companies do not rate high and, therefore, are not attractive to impact investors.
HIP (Human Impact + Profit) Investor is an expert in rating investments (4,500 companies and 4,000 governments and nonprofits), applying those ratings to portfolios, and managing money for investors. In addition to measuring impact, HIP’s Ratings are leading indicators of future risk and return potential. HIP's Ratings measure quantifiable results, such as human capital value and carbon efficiency. HIP serves investors, advisors, fund managers, and 401(k) plans seeking to manage future risk, return, and impact.