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Consumer Capital

A person holds a red smartphone while making a contactless payment using a card reader. The close-up shot captures the transaction in progress with a blurred background

Consumer capital refers to aligning your purchases and lifestyle with brands and businesses that share your impact goals. Where you direct your spending for your largest or most frequent expenses — home and household expenses, transportation, dining, and even apparel — adds up. More mindful and targeted consumer behaviour can influence innovation, supply chain management, and reporting decisions at major companies, and in turn, enable a more discerning application of investment capital to these companies.

Consider the following questions to identify ways to leverage your consumer capital:


  • What are your most significant expenses? How much research do you do before making a purchase or signing a contract with a service provider?
  • What features of a product or service are you willing to pay a premium for? Which are you not?
  • Who or what is currently influencing your consumer behaviour? Family and friends, social media, geography, etc.?

Consumer Capital in Action: Real Estate

The real estate sector is responsible for about 40% of total global greenhouse gas emissions. Over 10% of these emissions are generated by construction materials such as steel and cement, and the remainder result from powering and operating a building.1 When our clients are looking to make major real estate decisions, we often refer them to RedBook, our preferred partner for luxury property consultations.

The RedBook team specialises in assembling project-delivery teams for new residential builds, renovations, and interior design projects. In 2022, RedBook made a commitment to ensure all projects are carbon neutral, at no cost to the client.

The RedBook team created a sophisticated tool to calculate the carbon emissions output of a property project. This carbon calculator uses official UK government-recognised Low Energy Transformation Initiative (LETI) guidelines to provide robust and credible figures on carbon emissions created by the manufacture, use, and transport of materials in building projects.2 Once RedBook calculates the emissions, they pay to offset the impact of their partners (e.g., architects and contractors).

Key Takeaway
Find partners that help you align your spending with your values.

Consumer Capital in Action: Travel

For travellers who want to maximise the impact of their next getaway and connect with like-minded individuals, Indagare offers a membership service for curated trip planning and group excursions.

Indagare believes “how you travel matters.” Trips are built to preserve and sustain the destinations members travel to.

Every Indagare membership and trip supports the Indagare Impact Fund, which is focused on investing in local communities, preserving cultural sites for future generations, and protecting critically endangered wildlife and ecosystems. Indagare maintains transparent sustainable hotel criteria to help members choose more conscious itineraries and sources third-party-assured carbon offsets when emissions can’t be immediately reduced.

Key Takeaway
Leisure and impact are not mutually exclusive pursuits.

Explore Related Insights

Last Revised: August 2024

1 International Energy Agency, 2019 global status report for building and construction, December 2019.
2 RedBook Agency, February 2022.

This material is intended for educational purposes only and is provided solely on the basis that it will not constitute investment advice and will not form a primary basis for any personal or plan’s investment decisions. While it is based on information believed to be reliable, no warranty is given as to its accuracy or completeness, and it should not be relied upon as such. Goldman Sachs is not a fiduciary with respect to any person or plan by reason of providing the material herein, information and opinions expressed by individuals other than Goldman Sachs employees do not necessarily reflect the view of Goldman Sachs. This material may not, without Goldman Sachs’ prior written consent, be (i) copied, photocopied, or duplicated in any form, by any means, or (ii) distributed to any person that is not an employee, officer, director, or authorised agent of the recipient. This material is not an offer or solicitation with respect to the purchase or sale of any security in any jurisdiction. Investing involves risk, including the potential loss of money invested. Past performance does not guarantee future results. Neither asset diversification or investment in a continuous or periodic investment plan guarantees a profit or protects against a loss. Information and opinions provided herein are as of the date of this material only and are subject to change without notice.

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