How to Invest Retirement Savings in ESG—Even if Your 401(k) Doesn’t Offer It

Investors who yearn to align their portfolios with their values often face a dilemma. Many working Americans hold the bulk of their retirement money in a 401(k) or other employer-sponsored retirement-savings plan, and such plans rarely include funds that are clearly focused on environmental, social and governance (ESG) issues.

But there are ways to build ESG into a retirement-savings strategy, either within an employer plan or in tandem with one. Doing so requires a little work, such as looking closely at the fund choices within a plan to see whether any might have ESG leanings, or researching ESG investments to hold in another account.