The Sustainable Development Goals (SDGs) are a universal set of goals, targets and indicators for global development established by the United Nations in 2015 and adopted by an international community of 193 governments.

Integrating SDGs into investment decisions can help create new market opportunities, support long-term value and drive future economic growth.
To achieve these goals, it is estimated that it will require investment of $5-7 trillion each year until 2030.
The SDGs balance three primary dimensions of sustainable development: economic, social and environmental.

The interconnectedness of the SDGs

Research suggests that when ingrained in a company’s DNA and applied in all decision making, SDGs could prompt a fundamental shift in the way a business operates.1

Connected and indivisible

It is difficult to think about one SDG in isolation. And understanding the impact on one helps you to understand the impact on others.

As such, it is important for companies to think about the interconnectedness of SDGs in every decision they make.

Video Transcript
00:04
The United Nations Sustainable Development Goals or commonly known as SDGs are an ambitious, universal set of objectives agreed by UN member states. There are 17 in total and together they seek to change the world – by ending global poverty, protecting the planet and ensuring prosperity for all – by 2030. Implementation has begun, and there is plenty of work for governments, companies, the NGO sector – and investors – to do. The clock is ticking. Here we explore the opportunities that the goals provide for long-term investors.
00:46
First, the goals represent sources of emerging growth for companies. That’s because they highlight acute and enduring needs which in turn translate to long-term growth opportunities that drive long-term value creation – for people, the planet and committed investors. Next, the goals support the integration of environmental, social and governance risks by helping investors to identify companies whose revenues are materially exposed to products and services that contribute to overcoming sustainability challenges.
1:23
This strengthens risk frameworks, helping investors manage their exposure to businesses with sustainability concerns that compromise long-term revenues. And it can lead to improved returns, by helping investors find companies that are embracing sustainability to enhance profitability and the long-term strength of their operations, and ultimately positive social impacts providing a timely opportunity to help create a sustainable future through SDG focused engagements and investment decisions.
01:54
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Why do SDGs matter to investors?

Governments are introducing regulation and incentives to promote the SDGs, and companies are adopting more sustainable business practices.
Companies and asset owners are frequently being asked to assess carbon risk and disclose environmental, social and governance strategies.
Investors must join governments and companies to support long-term value creation, align with the broader needs of society and create new market opportunities.