The global ESG investing market is projected to surpass $41 trillion in 2022 and could reach $50 trillion by 2025, according to Bloomberg, representing about one-third of global assets under management. But despite these massive numbers, many investors are questioning the validity of ESG scores and frameworks.

For example, the BlackRock LifePath ESG Index 2050 Fund (LEPKX) holds more than eight percent of its portfolio in fossil fuel companies, including investments in Exxon Mobile, Chevron, and Shell. 

FLIT Invest aims to introduce a better way to divest from non-sustainable companies and invest in those committed to positive change.

FLIT Invest is a seed-stage startup and financial advisor that helps people invest in truly impactful portfolios. The diverse team of financial professionals, scientists, activists, developers, and researchers want to change how people see investing and democratize access to curated high-impact investment portfolios.

Co-founders Alejandro Fritz, Richard Papp, and Serena Fleischman founded the company after realizing that many "sustainable" investment funds held stocks like McDonald's, Exxon Mobil, and others that don't have a positive impact on sustainability goals. As a result, they sought to build a mobile-first way for investors to amplify their impact.

At the same time, the team's leadership has extensive experience in finance and wealth management. For example, CEO Alejandro Fritz previously worked at J.P. Morgan's Private Bank in New York, where he managed investments for ultra-high-net-worth families. And Richard Papp previously worked at ING in London as an investment banker.

FLIT Invest is a beta-stage investment advisor and fintech company operating through a mobile app with no minimums and low fees. Unlike other roboadvisors, the company lets you divest from companies you don't want to invest in and rank the top three values you care about most to align the remainder of your portfolio for maximum impact.

The company's impact areas include:

After making investments, the mobile app uses industry best practices to calculate your impact. The company's methodology is aligned with the Global Impact Investing Network's (GIIN) recommendations and follows the norms of the Impact Management Project. And most importantly, it's straightforward for anyone to read and interpret.

FLIT Invest goes beyond "exclusionary" sustainable funds by actively investing in high-impact companies. As a result, the company might be an excellent alternative to conventional financial advisors or roboadvisors. Moreover, the platform's reasonable $5 monthly subscription fee is far lower than its roboadvisor competition.

The company's mobile-first approach could also make it easier for anyone to manage their money via a smartphone rather than a physical advisor or web-only interface. While the app remains in beta, the user interface demonstrates the company's attention to usability and details, blending ease of use with cutting-edge insights.

While FLIT Invest aligns public stocks and bonds with high-impact causes, investors may also want to consider private investments with more significant impact potential. These opportunities diversify a broader portfolio while enabling anyone to directly contribute to solar projects, affordable housing, and other causes.

FLIT Invest is a beta-stage fintech startup offering a better way for investors to make an impact with their portfolios. While the company is still ironing out the details before launch, interested investors can sign up for early access. Alternatively, investors may also want to check out some other impact-focused financial advisors.