Ethical Investment

Ethical investment seeks to invest in companies which make a positive contribution to the world and seeks to avoid companies which harm the world, its people or its wildlife.

It is difficult for an individual investor to judge whether a particular company is ethical or not. Therefore, most ethical investments are held through a managed investment fund such as a unit trust or life insurance or pension fund.

Most UK ethical funds are based on a combination of positive and negative investment criteria. Some emphasise the former, while others concentrate on the latter, and some try to strike a balance between the two.