As we saw in our previous blog post, the industrial revolution encouraged the burning of fossil fuels for power generation, fuel and industries. This has increased the amount of waste, pollution and atmospheric carbon dioxide. We produce enough waste in a year to fill over 800,000 Olympic-sized swimming pools (Source: BBC News 2021)! Today, everyone is aware of the detrimental effects single-use plastics have on the world. As such, investors and financial advisors are beginning to understand the potential and importance of investing in recycling and waste management.
Cleanaway Waste Management (ASX: CWY)
Cleanaway Waste Management Limited is the largest waste management company in Australia. Their mission is to make a sustainable future possible. They provide a complete range of sustainable total waste management, including general waste and recycling, liquid waste, waste oil, hazardous regulated waste and bio-hazardous waste. They have one of the largest national fleets and are able to manage commercial, residential and industrial waste. Cleanaway is currently trialling electric vehicles that are energy-efficient to further lower their environmental impact. Additionally, they generate 134 GWh of renewable energy per year.
A glance at Cleanaway's performance:
Market Cap AU$5.99b
Earnings (TTM) AU$78.90m
Revenue (TTM) AU$3.01b
Information collected in December 2022
(Source: Cleanaway Waste Management Limited)
SECOS Group Limited (ASX: SES)
SECOS Group Limited is a leading developer and manufacturer of sustainable packaging materials. SECOS supplies its proprietary biodegradable and compostable resins, packaging products and high-quality cast films to a blue-chip global customer base. They are currently investing $2 million over three years to develop a world-class Research and Development (R&D) Centre in Australia whose key focus will be to develop better compostable biopolymer products for food and packaging applications worldwide.
A glance at SECOS Group's performance:
Market Cap AU$64.31m
Earnings (TTM) -AU$3.08m
Revenue (TTM) AU$31.04m
Information collected in December 2022
(Source: SECOS Group Limited)
Lithium Australia (ASX: LIT)
Lithium Australia aspires to 'close the loop' on the energy-metal cycle. Lithium Australia's technology comprises the SiLeach (R) and LieNA (R) lithium extraction processes, along with superior cathode material production courtesy of VSPC Ltd. They aim to establish a vertically integrated lithium processing business. Lithium Australia is developing a hydrometallurgical technique that recovers all metals, including lithium, from spent lithium-ion batteries.
A glance at Lithium Australia's performance:
Market Cap AU$57.40m
Earnings (TTM) -AU$20.63m
Revenue (TTM) AU$2.96m
Information collected in December 2022
(Source: Lithium Australia)
EcoGraf (ASX: EGR)
EcoGraf Limited is focused on becoming a long-term partner in supplying eco-friendly natural flake and battery anode material to customers in both established (refractory, decarburised, lubricant) and emerging (lithium-ion battery) global markets. EcoGraf utilises an eco-friendly purification process that has been perfected over three years to create the spherical graphite product.
A glance at EcoGraf's performance:
Market Cap AU$110.33m
Earnings (TTM) -AU$7.50m
Information collected in December 2022
(Source: EcoGraf Limited)
Things to consider when choosing to invest
Each company listed above is driven to provide solutions to the carbon emission crisis, but each company will have a different environmental, social and governance performance and choosing the right company to invest in comes down to you!
Ask yourself:
Is investing in shares and stocks right for my personal situation? Talk to a professional advisor first! You can find a list of ethical advisors on the RIAA website here or learn about how to invest in shares on the Money Smart website.
Which company reflects my values and impact interests?
How much am I willing to invest?
Is my portfolio of stock diversified?
How has the company previously performed?
How is the company performing from an Environmental, Social, and Governance (ESG) perspective?
You can make an impact!
Do you want your money to work for not against nature? Then download the Bloom app and start using your investments to fight climate change.
Don't forget, you can also join the Bloom community if you want to learn more about sustainable investing We have an upcoming array of events where you can learn how to make a positive impact on your finances.
The information on this website is prepared by Bloom Impact Investment Services Pty Ltd (ACN 651 965 098 AR 001294778), who is an authorised representative of Cache Investment Management Pty Ltd (ACN 624 306 430 AFSL 514 360) (Cache). Bloom’s financial products are issued by Melbourne Securities Corporation Limited (ACN 160 326 545 AFSL 428 289), as disclosed in the relevant PDS. All information provided in this article is general information only and does not take into account your personal circumstances, financial situation or needs. Before making a financial decision, you should read the relevant product disclosure statement and target market determination consider whether the product is right for you and whether you should obtain advice from a professional financial adviser.