Morningstar Sustainable Investing Analysis

Morningstar Sustainability Ratings for your investment decisions.

Looking for a sustainable source of income and returns? Learn about investing around environmental, social and governance factors.

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List: Top Rated Sustainable Funds

View the highest rated sustainable funds in Canada
List: High Yield Earth Friendly Funds

This list of funds have a yield greater than 8% and are ranked with a high sustainability rating.
List: Five for Five

This is a list of 5 Star and 5 Globe rated Funds. The best of both ratings.
600 Ways to Invest in the Fight Against Climate Change

We sort out the climate-focused fund landscape to help investors all over the world decarbonize their portfolios - and help finance the transition to a low-carbon economy.
Smoke-Free Your Strategy

Tobacco is a leading cause of cancer. And it may be in your portfolio.
Oil’s Not Out Yet

‘Best valuations I’ve ever seen’: RBC manager on Canadian energy sector underinvestment.
The Least Sinful Sin Stock?

Even if you don’t want booze stocks, their dividends may have already poured a path to your portfolio.
Sustainable Fund and ETF Assets Doubled in 2021

Canadian investors poured over $34 billion into ESG, Morningstar’s Ian Tam finds.
Microsoft Agrees to Buy Activision Blizzard, Despite Sexual Harassment Complaints

Microsoft is paying a 45% premium; Controversial CEO Bobby Kotick expected to step down when the deal closes.
ESG Ratings Have a Broader Impact

Sustainable investing seeks both good returns and broader impact.
Do You Hold Companies with Water-Related Risk?

Investors should be looking at these metrics considering we can't survive without water.
4 Things to Keep in Mind About Sustainable Investing in 2022

And four ways that it's having a broader impact on the world.
What’s the Net-Cost of Net-Zero?

Companies, and countries, have made ambitious statements about their commitment to tackling climate change, but what does it cost? A lot.
What Risks Do ESG Funds Carry?

Research conducted using Morningstar data shows that ESG funds carry more small-cap risk, interest-rate and inflation risk, vis-à-vis the S&P 500.
What’s the Cost of Buying Good ESG Companies?

We've found investors are paying too much for good ESG companies and too little for bad ESG companies. Here's how to overcome that.
2 Canadian Ways to Net-Zero

Sustainable investors should consider these two "uniquely Canadian advantages".
Canada’s New Investor Coalition

Exxon vote paves way for a new era of shareholder efforts – introducing Climate Engagement Canada.
Market Wants ESG Data

Complaints about ESG ratings reflect 'maturing, robust' industry, Morningstar's Jantzi says, adding that ratings diversity is a sign of a healthy market.
Companies with Strong ESG Credentials

Sustainable investors should consider these stocks.
11 Medalist Sustainable Funds

These gold, silver, or bronze-rated mutual funds and ETFs have performed well relative to peers.
Code Red: Investors Must Do Their Part

There are pathways out of the “code red for humanity”, and all Canadian investors have to play their part to hold companies accountable.
Ask Your Advisor About Sustainable Investing

…since our regulations don’t mention it.
Is Greenwashing a Problem?

The popularity of ESG has seen a number of fund firms jump on the sustainable bandwagon. There is a risk that some are not practicing what they preach.
SEC Sued by Shareholders

A Trump-era rule starting in January will require increasingly higher levels of shareholder support on any revisited attempts to shape a company's governance.
Green Bonds Go Mainstream

Fixed income investors can now find sustainable yield in a newly-listed Canadian ETF.
Exxon Battle Was About More Than Board Seats

It brings shareholder-driven climate governance to the forefront.
Should Thomson Reuters Disclose More?

Shareholders to decide whether the ‘media-turned-tech’ company should have more stringent reporting around human rights.
Can We Get to Net Zero?

Total emissions have been steadily increasing, but the goal of zero net emissions realistically remains on the horizon.
Canadian Sustainable Funds Grow in Q1

Ian Tam finds that the momentum of sustainable investments continued in full force over the first quarter of 2021.
3 Renewable Energy Stocks

The International Energy Agency forecasts renewables to account for 95% of the net increase in global power capacity through 2025.
Rogers-Shaw: Good for Investors, Bad for Consumers

Phone bills will rise as a result of the merger, and rural Canada might be hardest hit
If You Like Democracy, Check Your Fund

Why you need to consider where companies in your portfolio are doing business
21 Standout Companies Run by Women

International Women's Day: These US-listed firms have carved out economic moats and are led by female CEOs
Four Stocks Invested in Equality and Diversity

Celebrate Black History Month with a look at companies making good on their pledge for progress
How to Invest in Gender Diversity

The Morningstar Women's Empowerment Index tracks companies scoring well on gender diversity and equal pay. Does that also lead to financial returns?
Was Tesla Key to ESG Outperformance Last Year?

Maybe, but there were other factors at play in these funds
ESG Considerations for Airbnb IPO Investors

Experts highlight governance and social risks that overshadow the excitement
Canadians Get ‘Above Average’ Investment Disclosures

Morningstar’s sixth Global Investor Experience Study sees Canada continue to score positively on transparency relative to other markets
Ottawa's Green Investment Push

The federal government announces an issuance of green bonds for the first time - and what to look out for in new sustainable investing regulations and labeling initiatives with Morningstar's Ian Tam
Why Become an ESG Investor?

The question is not rhetorical
CPP’s Commitment to Canada 2050

Public pension plans play a key role in Canada’s path to net-zero emissions
How to be 'Good' with Money

More and more, investors are considering how ESG may play a part in their portfolios. Here’s a checklist for them.
'Renewable-ing' Oil

Clean energy is definitely in, and oil is out... but far from dead
Stocks Plugged into the Renewable Energy Revolution

These companies are well-positioned for policy tailwinds and a shift to sustainable energy
ESG Funds and Fees

Morningstar's Ian Tam looks at the cost of active management around sustainable equity funds
Investors Demanding ESG after the Pandemic

Corporate responsibility's a critical ingredient for sustainable - and enhanced - returns post-pandemic, says RBC Global Asset Management
New Framework to Find ESG Funds

The CIFSC has come out with five ways to identify approaches to responsible investing, and will categorize funds as per these approaches
10 ESG Funds for Passive Investors

The choices are far fewer when it comes to sustainable ETFs – of the 116 sustainable funds in Canada, only 30 are passive
IPL Leak Impact on Canadian Oil

Why even after a pipeline leak and the pandemic we see strong entry points right now
China’s Changing Electric Vehicles

A better infrastructure, way more production and sales make for undeniable leadership
3 Easy Steps to Finding a Suitable ESG Fund

Morningstar's ESG Screener makes it simple
Can Interest in ESG Investing Hold Up During a Pandemic?

Morningstar's latest behavioural research shows that interest in sustainable investing persists despite the coronavirus
The Future of Responsible Investing in Canada

Morningstar’s latest Executive Forum addresses questions around policy, regulation, greenwashing, and Canada’s oil and gas industry
Responsible Investing Fund is Sizzling Hot

Up 66.2% for the year, Desjardin's SocieTerra Positive Change fund found outperformance in the quest to do good
A Primer on Proxy Voting

A discussion about how proxy voting works and why it matters
Investing and Indigenous Rights

How Canadian investors can be exposed to complex issues - and what they should ask their managers - with Leith Wheeler’s Andrew Hoffman
ESG Investing Is About Long-Term Risk Management

Sustainable investing isn't just about values, it's about managing risks that affect all investors
7 Questions for Assessing ESG Expertise

Asking these questions about sustainable strategies will get you a step ahead of most investors
Investing Has a Role to Play in Ending Systemic Racism

The way you invest matters
The Only Way is ESG

Sustainable investing has moved into the mainstream in recent years. Eventually everyone will be an ESG investor, says Morningstar columnist John Rekenthaler
ESG at a Reasonable Price

Where Sustainalytics is finding responsible growth that gives investors the 'best bang for their buck' in tough times
Time for Accountability at Tim's

Pandemic will make it harder for parent company to ignore worker rights proposal this time around
Canadian Energy Hits an ESG Roadblock

A reckoning is coming for our oil, as Norges Bank divests from four Canadian oil majors - and more asset managers are expected to follow
Top ESG Stock Picks for 2020

Chocolate, finance and pharma: Invesco manager's sustainable businesses bets today
Is your ESG Fund Actually ESG?

Why investors in this new field need to look under the hood
ESG as an Equity Vaccine

Stocks, too, now need this improved immunity
What Is Proxy Voting and Why You Should Care

You are a shareholder of the companies in your portfolio, and proxy voting is the way for you to have a say
Is Religious Investing the Same as Responsible Investing?

Yes and no, though oftentimes the screens overlap
How are Canadian ESG Funds Doing?

An impressive performance worth considering
10 Best Sustainable ETFs in Canada

For investors who prefer passive investments over active, here are a few options
4 ESG Stocks for Sustainable Investing

Aligned with investor values and on sale, these big names may be the responsible bet you're looking for
Sustainable Investing Myths Debunked

Morningstar research into investors' attitudes towards environmental, social and governance issues unveils some surprising findings