We aim to provide investors with the insights they need to make well-informed investment decisions and to understand material climate risks and opportunities. We also offer a broad range of investment products to choose from, spanning more than 280 index mutual funds and ETFs and more than 120 actively managed funds and ETFs, globally. For those clients who seek them, we offer investment products with specific environmental, social, and governance (ESG) objectives that can help investors manage these risks and opportunities, including several ESG funds that are designed to meet net zero objectives. For investors who specifically want to limit exposure to carbon-intensive industries, we offer ESG index funds that avoid or reduce exposure to specific industries while seeking to achieve a market-like return.
Vanguard also offers actively managed ESG funds that seek to generate excess return by allocating capital toward companies that the fund managers may deem as demonstrating leading environmental, social, or governance practices consistent with each fund’s ESG mandate. Although the investment methodology may vary by product and manager, for these portfolios, assessing ESG-related risks and opportunities is central to the investment strategy.