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What is Impact Investing?

Aligning your investments
with purpose
What if your investments could provide financial return
and have a positive effect on the world?
It's possible through impact investing — investments made with the intent to generate measurable social and
environmental impact alongside a financial return.Footnote 1
“Let's do good inside the portfolio while we're doing good outside the portfolio.”
— Chris Hyzy, Chief Investment Officer for Merrill and Bank of America Private Bank
Play video on impact investing
—Is impact investing right for you? (3:38) | Read the transcript of the impact investing video (PDF)
How we define impact investing
We have identified four main approaches to impact investing:
Socially Responsible
Screen out entities based on faith-based or other personal preferences.
Avoid investments
associated with:
Environmental harm
Tobacco, firearms, alcohol
Practices that are in conflict with religious beliefs
How to get started:
Use our screeners to search for socially responsible funds:
Choose companies that excel at a range of environmental, social and governance (ESG) factors.
Seek investments
in companies that:
Promote and achieve sustainability
Encourage and measure corporate social responsibility
Are leaders in fair trade and factory worker safety
Investment opportunities that focus on environmental or social themes.
Target areas of
growth in:
Green initiatives, such as climate change or water security
Gender equality and diversity
Healthcare and the global trend toward obesity
Learn more about thematic investing:
Impact First
Investments that address specific social or environmental concerns using market-based solutions.
Pursue investments
that aim to:
Improve early childhood education
Reduce prisoner recidivism
Address homelessness
Committed to leading the charge
Our parent company, Bank of America Corporation, is a recognized leader in impact investingFootnote 2:
Committed to contributing one billion dollars to stimulate 10 times that amount in clean energy investments
Catalytic Finance Initiative
$1.1 billion in green bond offerings between 2013 and 2015
Signatory to Principles for
Responsible Investment
Interested in learning more about impact investing?
Turn to us whenever you have questions or need help getting the most out of Merrill.
Looking for one-on-one advice and guidance to help you get and stay on track?
Work with a licensed Merrill Financial Solutions Advisor
Get up to $600 when you invest in a new Merrill Edge Self-Directed account. How to qualify
Footnote 1 "About Impact Investing." Global Impact Investing Network. April 2015.

Footnote 2 Euromoney 2015 Awards for Excellence.

Investing involves risk. There is always the potential of losing money when you invest in securities.

Impact investing and/or Environmental Social Governance (ESG) investing has certain risks based on the fact that ESG criteria excludes securities of certain issuers for nonfinancial reasons and therefore, investors may forgo some market opportunities and the universe of investments available will be smaller.