ESG Viewpoint: Putting the brakes on Fast Fashion
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ESG Viewpoint: Putting the brakes on Fast Fashion

Fast Fashion – ‘clothes that are made and sold cheaply, so that people can buy new clothes more often’

Fast Fashion is fundamentally characterised by cheap garments being made quickly, and this is usually accompanied by exploitative labour practices and unsustainable raw material sourcing. Growth for fast fashion companies comes from encouraging greater clothing turnover by enticing price-sensitive consumers with ever cheaper products and/or playing into their need to wear the latest trends. Hence, the fast fashion business model is inherently linked to over-production for growth. This has engendered a “take-make-dispose” attitude, which has further negative consequences on the world’s natural capital, thus increasing the risk of financial materiality for those companies that are poor stewards of these resources. In contrast, sustainable apparel requires more thought at the design phase, is often more expensive and is directly tied to the concept of consumers buying less.

Interested in learning more?

How and why did Fast Fashion emerge and what are the issues associated with low cost on trend clothing?  We visit not-for-profit Fashion Enter and learn about their challenge to the Fast Fashion business model.  Download the full viewpoint to discover more.

21 March 2023
Tenisha Elliott
Tenisha Elliott
Senior Associate, Analyst, Responsible Investment
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ESG Viewpoint: Putting the brakes on Fast Fashion

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Views and opinions have been arrived at by Columbia Threadneedle Investments and should not be considered to be a recommendation or solicitation to buy or sell any companies that may be mentioned.

The information, opinions, estimates or forecasts contained in this document were obtained from sources reasonably believed to be reliable and are subject to change at any time.

Engagement efforts outlined in this Viewpoint reflect the assets of a group of legal entities whose parent company is Columbia Threadneedle Investments UK International Limited and that formerly traded as BMO Global Asset Management EMEA. These entities are now part of Columbia Threadneedle Investments which is the asset management business of Ameriprise Financial, Inc. Engagement and voting services are also executed on behalf of reo® clients.

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Risk Disclaimer

Views and opinions have been arrived at by Columbia Threadneedle Investments and should not be considered to be a recommendation or solicitation to buy or sell any companies that may be mentioned.

The information, opinions, estimates or forecasts contained in this document were obtained from sources reasonably believed to be reliable and are subject to change at any time.

Engagement efforts outlined in this Viewpoint reflect the assets of a group of legal entities whose parent company is Columbia Threadneedle Investments UK International Limited and that formerly traded as BMO Global Asset Management EMEA. These entities are now part of Columbia Threadneedle Investments which is the asset management business of Ameriprise Financial, Inc. Engagement and voting services are also executed on behalf of reo® clients.

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