Morgan Stanley Wealth Management Introduces New Tool Kit to Effectively Integrate Investing With Climate Change and Fossil Fuel Impact Goals

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Morgan Stanley Wealth Management Introduces New Tool Kit to Effectively Integrate Investing With Climate Change and Fossil Fuel Impact Goals

Provides Innovative Approaches to Implement Climate Change and Fossil Fuel Aware Investing
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As the world moves to a low-carbon economy, is it time for investors to change how they see fossil fuel investments?
Friday, February 12, 2016 - 9:30am

CONTENT: Press Release

NEW YORK, February 12, 2016 /3BL Media/ – Investors who are interested in proactively seeking opportunities to enhance environmental impact without sacrificing potential financial return now have access to a new framework to transform the dialogue around climate change and the fossil fuel debate into an actionable plan for investing.

Morgan Stanley Wealth Management’s Investing with Impact Platform has introduced the Climate Change and Fossil Fuel Aware Investing Tool Kit.  The Tool Kit is designed as a roadmap for Morgan Stanley Financial Advisors to use with individual and institutional clients to develop a tailored investment approach to incorporate climate change and fossil fuel awareness into their portfolios based on their unique objectives.

The Tool Kit includes a primer that explores the topic of climate change, with a focus on fossil fuels, and provides a framework for investors to understand the risks and opportunities involved in climate change and fossil fuel aware investing.  It also provides various approaches to climate change and fossil fuel aware investing, and guidance on how to implement these approaches from a portfolio perspective in a changing marketplace.

“We are pleased to provide our clients with this latest Tool Kit, further enhancing our ability to serve our clients who seek to address global challenges and pursue competitive financial returns,” said Hilary Irby, Head of Morgan Stanley’s Investing with Impact Initiative.  “With the support of a Morgan Stanley Financial Advisor, investors can take actionable steps toward understanding the impact of climate change on their investments and then shift their portfolios toward building a more resource-efficient economy.”

The Tool Kit recognizes that there is no one-sized-fits-all approach to climate change and fossil fuel aware investing.  However, adopting a systematic approach can help investors accomplish their unique goals by integrating climate change into their investment considerations and reducing carbon exposure in their portfolios through the strategic reallocation of assets.  

“We believe there are a variety of approaches investors can take to transform the dialogue around fossil fuels and climate change into an actionable plan for investing,” said Lily Scott Trager, Director of Investing with Impact for Morgan Stanley Wealth Management.  “The framework presented in the Tool Kit helps to clarify the different approaches to climate change and fossil fuel aware investing, and serves as a catalyst for action by providing a lens for portfolio construction that maintains a consistent, balanced focus on both impact and financial goals.”

The Fossil Fuel Aware Investing Framework offers a variety of approaches that can be used individually or together:

Fossil Fuel Aware – Investors may choose to reduce or eliminate exposure to companies producing coal, oil and gas, nuclear energy or owning significant fossil fuel reserves.

Environmental Leaders – Investors can maintain select exposure to the energy sector by investing in companies that reflect industry leading environmental practices compared with their peers.

Thematic Opportunities – This proactive approach focuses on opportunities across asset classes to invest in themes related to climate change and fossil fuel awareness.  Examples include energy efficiency, renewable energy, energy storage and distribution, and alternative transportation such as electric vehicles.

Shareholder Engagement – Shareholder engagement can serve as a tool in making a portfolio potentially less vulnerable to climate change and fossil fuel related risk.  As shareholders, investors can drive positive environmental change by voting proxies and as an investor in third-party strategies that use the power of their collective assets to influence corporate behavior.

Morgan Stanley Wealth Management’s Investing with Impact Platform, launched in 2012, enables clients to align investment decisions and personal values without sacrificing potential financial performance.  The broader Investing with Impact Platform now offers more than 130 investment products capable of delivering positive environmental and social impact.

For more information on Morgan Stanley’s Institute for Sustainable Investing and recently published report A Changing Climate: The Fossil Fuel Debate, please visit

Morgan Stanley Wealth Management, a global leader, provides access to a wide range of products and services to individuals, businesses and institutions, including brokerage and investment advisory services, financial and wealth planning, cash management and lending products and services, annuities and insurance, retirement and trust services. 

Morgan Stanley (NYSE: MS) is a leading global financial services firm providing investment   banking, securities, wealth management and investment management services.  With offices in more than 43 countries, the Firm's employees serve clients worldwide including corporations, governments, institutions and individuals.  For more information about Morgan Stanley, please visit

This material has been prepared for informational purposes only and is not intended as an offer or solicitation with respect to the purchase or sale of any security. It does not provide individually tailored investment advice. It has been prepared without regard to the individual financial circumstances and objectives of persons who receive it. Morgan Stanley Smith Barney LLC (hereafter "Morgan Stanley" or “the Firm”) recommends that investors independently evaluate particular investments and strategies, and encourages investors to seek the advice of a Morgan Stanley Financial Advisor or Private Wealth Advisor. The appropriateness of a particular investment or strategy will depend on an investor’s individual circumstances and objectives.

Morgan Stanley Smith Barney LLC offers investment program services through a variety of investment programs, which are opened pursuant to written client agreements. Each program offers investment managers, funds and features that are not available in other programs; conversely, some investment managers, funds or investment strategies may be available in more than one program. Morgan Stanley’s investment advisory programs may require a minimum asset level and, depending on your specific investment objectives and financial position, may not be suitable for every investor.

Investing in the markets entails the risk of market volatility. Sustainable investing is subject to certain risks such as investment style risk.  Because sustainable criteria exclude some investments, investors may not be able to take advantage of the same opportunities or market trends as investors that do not use such criteria.

© 2016 Morgan Stanley Smith Barney LLC, member SIPC. Morgan Stanley Wealth Management is the trade name.

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Dan Mahoney
+1 (212) 761-2645
Morgan Stanley - Media Relations
Christy Jockle
+1 (914) 225-6827
Morgan Stanley - Media Relations
Keywords: Finance & Socially Responsible Investment | Finance | Integrate Investing | Morgan Stanley | Socially Responsible Investing | Sustainable Investment | Tool Kit | Wealth Management | climate change | fossil fuel | goals

CONTENT: Press Release