Tim Nash, founder of Good Investing
Focus: Sustainable investing

MARKET OUTLOOK

The Bank of Canada identified climate change as a as a systemic risk to our economy and will be integrating climate-related risks into financial stability analysis. Canadian investors are ill-prepared for price shocks to carbon-intensive companies as the market starts to price in these risks.

Carbon pricing has become politicized in Canada and I expect it to be a major issue in the upcoming federal election. Research shows that carbon pricing is the most economically efficient way to reduce our carbon dioxide emissions, but people seem to really hate taxes of any sort. Andrew Scheer’s environment plan — the weakest plan from any of the major political parties — still includes financial incentives for green technologies that will help boost revenues in the green economy.

TOP PICKS

Tim Nash's Top Picks

Tim Nash of Good Investing shares his top picks: the VSGX, the XSAB and Brookfield Renewable Energy Partners.

VANGUARD ESG INTERNATIONAL STOCK ETF (VSGX.N)
International environmental, social and governance (ESG) stock ETFs are few and far between, so I’m very happy Vanguard launched one. It excludes weapons and oil and gas majors, although it does still include pipelines, utilities that burn coal and mining companies. VSGX is very affordable, with a low management expense ratio of just 0.15 per cent.

ISHARES ESG CANADIAN AGGREGATE BOND INDEX ETF (XSAB.TO)
There aren’t many socially responsible bond ETFs, so I’m happy with the launch of XSAB. Curiously, it does include beer companies (alcohol is usually excluded) and natural gas pipelines like Enbridge.

BROOKFIELD RENEWABLE ENERGY PARTNERS (BEP_u.TO)
The gold standard for Canadian green investors, Brookfield Renewable Partners pays a high dividend while offering stability with the backing of parent company Brookfield.

 

DISCLOSURE PERSONAL FAMILY PORTFOLIO/FUND
VSGX N N Y
XSAB N N N
BEP-U Y Y N

 

PAST PICKS: JULY 20, 2018

Tim Nash's Past Picks

Tim Nash of Good Investing reviews his past picks: the XEN, the PZD and Cascades.

ISHARES JANTZI SOCIAL INDEX ETF (XEN.TO)

  • Then: $26.12
  • Now: $25.70
  • Return: -2%
  • Total return: 1%

INVESCO CLEANTECH ETF (PZD.N)

  • Then: $43.15
  • Now: $45.60
  • Return: 6%
  • Total return: 6%

CASCADES (CAS.TO)

  • Then: $12.06
  • Now: $11.89
  • Return: -1%
  • Total return: 0.1%

Total return average: 2%

 

DISCLOSURE PERSONAL FAMILY PORTFOLIO/FUND
XEN N N N
PZD Y N N
CAS N N N

 

WEBSITE: goodinvesting.com
BLOG: sustainableeconomist.com
TWITTER: @timenash