We believe investors should thoughtfully consider these dynamics in order to build sustainable portfolios and take
advantage of investment opportunities as we move towards a low - carbon economy.
To help illustrate this point, I present the «Investment Opportunity Schedule» in Exhibit 1, which plots the
number of investment opportunities against the level of potential return for each opportunity.
The method of calculation based on a static 5 %, moreover, is based on an arbitrary percentage rate instead of a measurement of actual loss or
loss of investment opportunity.
I will now show what
kind of investment opportunity the current uncertainty and risk has created in this stock by discounted the company's future dividends.
The fund's sustainable investment strategy limits the types and number
of investment opportunities available to the fund and, as a result, the fund may underperform other funds that do not have a sustainable focus.