We all have social causes that we care about. But there can sometimes be divergence in the causes we care about and our investment decisions. This does not have to be the case. As investors, we can consider both financial return and social good, giving us a chance to support the causes we care about, while diversifying our investment portfolios. A Rich History Investing for social good has a rich history dating back thousands of years, as people have long invested based on their values. In the United States, this investment approach dates back to the mid-1700s, when the Quakers refused to invest in any aspect of the slave trade and avoided investing in companies involved in the liquor, tobacco or gambling industries - the so-called Sin Stocks. Fast forward to the 1980s, and shareholders, citing their opposition to apartheid-ruled South Africa, convinced U.S. companies to withdraw from South Africa, which fueled an international boycott that brought about change and helped lead to fair elections. One in Three Dollars Is ESG-managed Today By assessing potential investments using environmental, social and governance (ESG) criteria, along with financial performance metrics, investors can assign “points” to companies whose practices align with their values. More points translate to a higher weighting in the target portfolio. The ESG market is huge in the U.S. and around the world. According to the Forum for Sustainable and Responsible Investment, one out of every three dollars under professional management in the United States is involved in ESG. The ESG Criteria In general, socially conscious investors seek to encourage corporate practices that promote religious beliefs, environmental stewardship, consumer protection, human rights or diversity. Money managers are incorporating ESG criteria into their investment analysis and decision-making. ESG criteria can also be used to limit investment in areas that conflict with the investor's values. Different Terminology, Same Idea As you can surmise, there are as many approaches to Socially Responsible Investing as there are SRI investors, who may refer to SRI as: #CommunityInvesting #EthicalInvesting #GreenInvesting #ImpactInvesting #MissionRelatedInvesting #SustainableInvesting #ValuesBasedInvesting Things to Think About Ruling out companies for practices that you disagree with does occasionally result in diminished profits. In fact, a good portfolio allocation will warn investors that their environmental and social screens might result in leaving money on the table. Further, as in all investing, having a broad diversification of your investment portfolio is always important. For example, investors who see global climate change as a significant business and investment risk can consider investing as part of the portfolio in environmentally conscious companies. Investing according to your conscience can turn your portfolio into a powerful agent for change you believe in. At Dunhill Financial we believe in hyper customized portfolios for all, utilizing our wealth of experience and technology we can help your investments align with your views on ESG and other thematic areas without derailing your overall financial plan. If you are interested in socially responsible investing or hyper customized portfolios get in touch with our expert advisors to see how we can help you unlock your finances. #ESG #SociallyResponsibleInvesting #FinancialPlanning #Investments #Thematic #DisruptiveTechnology DUNHILL FINANCIAL, LLC IS A REGISTERED INVESTMENT ADVISER. INFORMATION PRESENTED IS FOR EDUCATIONAL PURPOSES ONLY AND DOES NOT INTEND TO MAKE AN OFFER OR SOLICITATION FOR THE SALE OR PURCHASE OF ANY SPECIFIC SECURITIES, INVESTMENTS, OR INVESTMENT STRATEGIES. INVESTMENTS INVOLVE RISK AND UNLESS OTHERWISE STATED, ARE NOT GUARANTEED. BE SURE TO FIRST CONSULT WITH A QUALIFIED FINANCIAL ADVISER AND/OR TAX PROFESSIONAL BEFORE IMPLEMENTING ANY STRATEGY DISCUSSED HEREIN. Copyright © 2022 FMeX. All rights reserved. Distributed by Financial Media Exchange.

When your tax refund arrives from Uncle Sam, it can be tempting to spend it immediately. But there are ways that you can use your refund to your advantage. 1. Build Your Emergency Fund If your emergency fund is low, consider using your tax refund to beef it up. Most experts recommend having at least three to six months of expenses saved. But over half of Americans have less than three months in emergency savings, while a quarter doesn’t have an emergency fund at all. A normal savings account can suffice for keeping your emergency savings safe, but a certificate of deposit (CD) can also be a good option if you’re searching for a higher interest rate savings vehicle and don’t need the money prior to the CD’s maturity date. 2. Contribute to Retirement Putting your tax refund into an individual retirement fund is a good way to build for your future. Consider contributing to either a Roth or Traditional individual retirement account (IRA). For a traditional IRA, your contributions are deducted from your income and then taxed when the money is withdrawn. While a Roth IRA doesn’t allow you to deduct contributions from your income, you can withdraw the funds tax-free. Check the income phase-outs to make sure you qualify. This supplement to your normal retirement savings may come in handy. Most experts recommend having ten times your salary saved for retirement by age 67. 3. Pay Down Credit Card Debt If you have debt, it may be wise to pay it down with some help from your tax refund—especially if you have credit card debt. Credit cards usually have high interest rates and can keep you in debt for years if you’re only making the minimum payment. Unlike other types of debt, such as a mortgage or student loan debt, credit card debt is considered “bad debt” because it isn’t used to pay for appreciating assets. 4. Invest in Education Putting extra funds toward education—whether you’re saving for your child or your own—is always a good use of extra cash because it’s an investment in human capital. Education has been shown to improve salary potential, social mobility, sense of fulfillment, and even health. If your return goes into a college savings vehicle, you may be able to reap some tax benefits as well. 5. Increase Your Home Value If you have adequate emergency and retirement savings and aren’t carrying any credit card debt, use your tax refund to invest in your home. Consider funding a renovation project that will increase the value of your home. If you don’t plan on selling any time soon, focus on changes that improve your family’s overall quality of life. 6. Give to Charity Putting your tax refund behind a cause that’s close to your heart is emotionally rewarding. It also comes with the added possibility of tax benefits, depending on how you choose to give. Keep your giving receipt if you plan to itemize next year. You may want to look at donor advised funds (DAFs) and other vehicles to maximise your philanthropy efforts whilst optimizing your tax situation. Planning ahead is key, get in touch with our expert financial advisors to see how they can help you with your financial plan. #TaxReturn #IRS #FinancialPlanning #TaxRefund DUNHILL FINANCIAL, LLC IS A REGISTERED INVESTMENT ADVISER. INFORMATION PRESENTED IS FOR EDUCATIONAL PURPOSES ONLY AND DOES NOT INTEND TO MAKE AN OFFER OR SOLICITATION FOR THE SALE OR PURCHASE OF ANY SPECIFIC SECURITIES, INVESTMENTS, OR INVESTMENT STRATEGIES. INVESTMENTS INVOLVE RISK AND UNLESS OTHERWISE STATED, ARE NOT GUARANTEED. BE SURE TO FIRST CONSULT WITH A QUALIFIED FINANCIAL ADVISER AND/OR TAX PROFESSIONAL BEFORE IMPLEMENTING ANY STRATEGY DISCUSSED HEREIN. Copyright © 2022 FMeX. All rights reserved. Distributed by Financial Media Exchange.