Impact investing in animal welfare - directing capital toward companies and innovations that improve animal lives - is a growing approach to leveraging financial markets for welfare change.
Impact investing for animal welfare leverages financial markets to accelerate welfare improvements beyond what advocacy alone can achieve. When investors signal that welfare performance affects investment decisions, food companies face financial incentives to improve. The FAIRR Initiative's engagement with major food companies on sustainable protein and animal welfare has generated welfare commitments from companies representing trillions in market capitalization. Retail investors can participate through ESG funds that include animal welfare criteria, and through shareholder advocacy at annual meetings of food companies.