There is no standard approach to ethical investing but broadly speaking there are four key areas:
As companies are generally beginning to take steps towards ethical and sustainable practices, opportunities for ethical investments increase. Likewise, companies are aware of these ethically conscious investors, which in turn encourages them to embrace ethical operations. This circle is constantly growing and by taking part, we can help bring positive change to the world.
But how does this impact performance? Independent research by Morningstar (How Does European Sustainable Funds’ Performance Measure Up? – Published June 2020) supports our view that performance needn’t be sacrificed due to ethical concerns, as over the last 10 years there has been no need to forgo performance to ensure investments are sustainable.
If you are interested in ethical investing, we can discuss with you what areas you particularly want to focus on and invest on this basis. We have a range of risk rated ethical portfolios designed specifically for ethical investing.
Our advisers can help build a bespoke portfolio to meet your needs and if you subscribe to our ongoing service your plans will be regularly reviewed and rebalanced to help keep things on track.