Ethical investment on the global stage, as Sweden’s pension funds exclude Israeli defence technologies firm Elbit Systems from their portfolio, for alleged breaches of international rights conventions. Similar freedom of choice is now available to the individual investor, with a range of ethical funds offering a great opportunity to build an investment portfolio ‘with conscience’.
Ethical funds watchdog EIRIS has found that 45% of companies have no management systems in place to check labour standards among their suppliers, and therefore fail to report on the issue. Worst offenders on worker exploitation are consumer goods makers, particularly of clothing, toys, and electronics.
Norway’s national pension fund has sold off Euro 1.8 bn in tobacco shares, citing ethical reasons. The individual investor can also opt for ethical investments, with over 100 ethical funds now available.
The critics say that ethical funds are not transparent enough to convince investors they are genuinely green, or that the screening process limits the number of companies available to ethical fund managers, and therefore hampers their ability to maximise returns.
Europe is capable of cutting its carbon emissions by 40% by 2020, according to a new study by Friends of the Earth and the Stockholm Environment Institute, published at this week’s Copenhagen climate change conference.
Europe’s current commitment is to reduce emissions by just 20%, compared to 1990 levels.
The Chancellor has announced in his pre-budget report an additional £400m in funding for low-carbon growth initiatives and carbon reduction initiatives at domestic level.
This brings to over £15bn the amount of private and public investment in the low-carbon and renewable energy sectors over the next three years.
Seventy per cent of people in Great Britain consider their outlook and lifestyle to be green and ethical, and 49% of people with savings and investments would like to make a difference with their money by making an ethical investment. These are the findings of the UK Sustainable Investment and Finance Association (UKSIF) published this [...]
The debate about global warming, alternative energies, ethical investment and fair trade has taken a central position on the world stage in this decade. As environmental and ethical awareness percolates down through all areas of business, many public companies have taken steps to improve their standards of corporate governance with regard to these issues. Investment funds companies have acknowledged [...]
