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US SIF NextGen

FAQs

New to sustainable investing? You're not alone.

This FAQ page is designed to help students and early-career professionals better understand the basics of sustainable investing, sustainable finance, and the role organizations like US SIF play in advancing the field. Whether you're exploring career opportunities, learning industry terminology, or simply curious about how finance can contribute to positive environmental and social outcomes, these answers provide a great place to start.

Don't see your question here? Explore the rest of the NextGen resources or reach out—we're always happy to help you learn more about careers and opportunities in sustainable finance.

What is Sustainable Investing?

Sustainable investing is an investment approach that considers financial performance alongside environmental, social, and governance (ESG) factors. Investors may use sustainable investing strategies to manage risk, identify opportunities, align investments with their values, or create positive social and environmental outcomes. Sustainable investing can be applied across asset classes, including stocks, bonds, and private investments.

What is the difference between sustainable investing and sustainable finance?

While the terms are often used interchangeably, sustainable investing and sustainable finance are not the same.

Sustainable investing refers specifically to the investment decisions made by individuals and institutions. It involves incorporating environmental, social, and governance (ESG) factors, impact considerations, or sustainability themes into portfolio construction, security selection, and investment stewardship.

Sustainable finance is the broader ecosystem that supports these activities. It includes sustainable investing, but also encompasses sustainable banking, insurance, lending, capital markets, corporate finance, public policy, financial regulation, and the development of financial products designed to address environmental and social challenges.

In simple terms:

  • Sustainable Investing = How money is invested

  • Sustainable Finance = The entire financial system that supports sustainable economic outcomes

For example, a financial advisor building an ESG-focused portfolio is practicing sustainable investing. A bank financing a renewable energy project, an insurer assessing climate risk, or a company issuing a green bond are all examples of sustainable finance.

This distinction is important because sustainable careers exist far beyond investment management. Students interested in banking, financial planning, research, insurance, consulting, public policy, fintech, and corporate sustainability can all find opportunities within the broader field of sustainable finance.

What is US SIF?

US SIF: The Sustainable Investment Forum is the leading membership organization advancing sustainable investing across the United States. We work to raise awareness, provide education, support research, and bring together professionals who believe capital can help address important environmental, social, and economic challenges.

Why does US SIF exist?

Originally founded in Washington, D.C. in 1984, US SIF exists to advance sustainable investing and help investors, financial professionals, companies, policymakers, and other stakeholders understand how investment decisions can contribute to long-term financial success and a more sustainable economy. Through education, advocacy, research, and collaboration, we help strengthen the sustainable investing industry and support its continued growth.

Who are US SIF members?

US SIF members represent a diverse cross-section of the sustainable investing ecosystem. Members include asset managers, financial advisors, investment consultants, community development financial institutions (CDFIs), foundations, pension funds, broker-dealers, research providers, and other organizations committed to advancing sustainable investing. Together, they help direct capital toward solutions that support both investors and society.

Why should students and young professionals care about sustainable investing?

Sustainable investing is one of the fastest-evolving areas of finance and intersects with issues that many young professionals care about, including climate change, economic opportunity, corporate accountability, community development, and responsible business practices. Whether you're interested in investment management, financial planning, research, banking, sustainability, public policy, or entrepreneurship, understanding sustainable investing can open doors to a wide range of meaningful career opportunities.

How can I get involved with US SIF NextGen?

US SIF NextGen provides students and early-career professionals with educational resources, career guidance, networking opportunities, job postings, and connections to professionals working across the sustainable investing industry. Whether you're just learning about sustainable investing or actively pursuing a career in the field, NextGen is designed to help you explore pathways and build your professional network.

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