Louise Wilson believes the way we invest our money can have a positive impact on our wallet, communities and the environment.
As co-founder of green crowdfunding platform Abundance Investment with significant experience in sustainable finance, she's successfully carved out her niche in a traditionally male-dominated field.
The FCA-approved company is arranging the H&F Green Investment on behalf of the Council.
"Women are underrepresented in both investment and climate change. Solving those through more women investing for climate action can have a positive impact on both," said Wilson.
The money-savvy climateer shared her insights at a recent webinar held as part of Hammersmith & Fulham's Women's History Month.
Watch the recording:
She spoke about how council-community schemes such as H&F Green Investment enable residents to drive local climate action by supporting climate and ecological projects on their doorstep.
"As an investor, you get a low-risk but high-impact investment that really makes a difference," said Wilson, a former H&F resident for 20 years. "You can go around and see how [the investment] is making a difference across a wide range of initiatives."
"Attractive investment"
H&F residents can currently earn a fixed 4.6%-a-year return by investing in the second round of H&F's green investment offer. The money raised is set to help fund renewable energy projects for local community buildings, such as solar PV panels and battery storage for schools.
"In the US, two out of three infrastructure projects are funded using municipal bonds," Wilson explained, adding that 40 per cent of the loans are contributed by private investors. "Generous tax breaks" make them a "particularly attractive" investment opportunity, as reported by the Financial Times.
Residents qualify for tax-free interest when investing in H&F Green Investment through an Individual Savings Account (ISA). Invest until Friday 5 April to maximise your allowance for the current tax year.
Polluted pensions
Borough-based business-to-business marketer, Lily Robertson, added green pension schemes as an effective means to make money work for people and nature.
"Engaging with your pension can feel like a tiresome admin task, but actually, it's a really simple step to have a huge impact," said Robertson. "They are actively investing throughout our lifetime. If they're not investing in the right way, they could slow down the green transition."
Findings from Make My Money Matter, a joint WWF and Aviva campaign from 2021, suggest that replacing "polluted" pension schemes with more eco-friendly options can be 21 times more effective than giving up flying, eating less meat, or changing your energy provider – behaviour changes people more commonly adapt to lower their carbon footprint.
Much like pensions, green savings can offer another avenue to improve climate and financial resilience, according to Robertson.
"The institution that you allow to hold your savings is using your money while you aren't to make loans or investments," she explained. "What those projects and loans are is important to the carbon footprint of your savings account."
Make most of your quid
Spending our money locally also offers a chance to adapt more mindful consumer habits and help H&F thrive.
From clothes to furniture or the weekly shop, for every £1 spent at a small or medium sized business, £0.63 remains within the local economy. That's £.023 more than when shopping at larger companies.
Independent shops also regularly source their goods locally. By shopping local, residents can support their efforts to be more environmentally friendly, and even add to it by walking or cycling to your high street.
Kate Moore, owner of Shepherds Bush maker space, Petit Miracles, said: "Our project focuses on teaching our community valuable skills around repairing and re-use. It shows us that we can save money and help the environment – reducing waste going to landfill, all while discovering individual creativity."
Notes:
Capital at risk. Investments are long term and may not be readily realisable. Tax treatment depends on your individual circumstances and may be subject to change in the future. This content has been approved as a financial promotion by Abundance who are authorised and regulated by the Financial Conduct Authority (525432). Approval date: 27 March 2024.
