Earth Day Guide: Invest in the Planet’s Future

Each year on April 22, Earth Day brings renewed global attention to environmental challenges, especially the urgent need to address climate change. The campaign advocates a transition away from a fossil-fuel-based economy toward a cleaner, carbon-neutral future. EarthDay.org, the international coordinator of Earth Day activities, urges individuals, governments, businesses and institutions to move beyond outdated, polluting technologies and to prioritize building a 21st-century economy that restores planetary health, protects biodiversity and expands opportunity. What does this shift mean for your investments?

The 2025 Earth Day theme, “Our Power, Our Planet,” calls for a collective focus on renewable energy—tripling clean electricity by 2030—by scaling solar, wind, hydroelectric, geothermal and tidal power to reduce emissions and support sustainable economic growth.

What is sustainable investing?

Sustainable investing evaluates companies not only on financial performance but also on environmental, social and governance (ESG) factors that can affect long-term results and societal outcomes. Known variously as responsible investing (RI), socially responsible investing (SRI), ethical or green investing, and impact investing, this approach integrates non-financial considerations—such as environmental stewardship and social responsibility—into investment decisions.

A recent Pollara Strategic Insights survey for Mackenzie Investments found that while 67% of Canadians believe investing in the energy transition—from traditional energy to low-carbon and renewable sources—will have a positive impact, only 14% currently invest in that space. One in ten respondents said they are very likely to begin investing in the energy transition within a few years, highlighting a gap between awareness and action.

What ESG factors do investors consider?

Investors and stakeholders typically review a range of non-financial issues to assess ESG performance. Common considerations include:

• Environmental: Greenhouse gas emissions, air and water pollution, energy efficiency, water consumption, waste and recycling practices, deforestation, biodiversity commitments and the sustainability of supply chains.
• Social: Workforce diversity and inclusion, labour standards, human rights practices, community relations, customer protections, data privacy, employee engagement and workplace health and safety.
• Governance: Board structure and oversight, board diversity, regulatory compliance, executive pay, succession planning, anti-corruption measures, lobbying transparency and political contributions.

Learn more about responsible investing

If you want to align your investments with your values, these resources explain different approaches and practical steps:

• What is socially responsible investing? — An overview of non-financial factors to consider when choosing investments.
• Why sustainable investing is important — A guide to approaches such as impact investing, purpose-driven strategies and divestment, and how to get started.
• An investor’s guide to ESG reporting in Canada — Practical advice for navigating inconsistent reporting standards and identifying meaningful disclosures.
• 5 ways to invest sustainably for Canadian investors — Tips for integrating ESG considerations into your investment approach.
• Invest for good: Impact investing for young Canadians — A look at impact investing for early-career investors.
• Greener days ahead: New global standard for climate-related disclosures — How emerging ISSB guidance can help investors compare companies’ climate readiness.
• Attention, ESG investors: Canada’s biggest carbon-emitting public companies — Assessments of progress on emissions and net-zero commitments.
• The cost of socially responsible investing — A practical look at product choices, performance and fees.
• Two simple and low-cost portfolios for sustainability-minded investors — Model portfolios using Vanguard and iShares ETFs.
• Halal investing in Canada — Options that meet Shariah-compliant investment needs.
• Investing with your conscience — A review of whether ESG funds differ enough from traditional index funds to matter for values-driven investors.
• Is ethical investing good for your portfolio? — Perspectives on ethical investing and potential returns.
• How to invest more sustainably in crypto — Considerations for reducing the environmental impact of cryptocurrency investments.

More ways to celebrate Earth Day

On April 22, join community efforts to protect the planet. Participate in a local cleanup, take environmental actions at home or attend virtual Earth Day events. You can also explore eco-friendly products and lifestyle changes that reduce waste and energy use, and that may align with your investment values.

Earth Day began in 1970 in the United States and spurred the modern environmental movement. In 1990 it became a global day of action, and initiatives like Earth Day Canada were launched to coordinate national efforts. Today, Earth Day reaches an estimated one billion people worldwide, emphasizing the urgent need to respond to the growing impacts of climate change.

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