You recycle. You support local businesses. You’ve sworn off fast fashion and started composting.
But here’s something most people don’t consider – is your investment portfolio quietly funding the very things that you are trying to avoid?
If you are at the stage of life where you are considering retirement and your financial future, chances are you have some savings through pensions, ISAs or personal investments. You’ve also likely developed a strong sense of the world you want to help create – one that’s fairer, greener and more sustainable. But many traditional investment funds include companies and sectors that undermine these goals.
The Hidden Impact of “Everyday” Investments
Many traditional funds, especially those in workplace pensions or default portfolios, invest in:
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Oil and gas companies
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Fast fashion brands
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Arms manufacturers
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Big Tech
Most of us would not intentionally support these industries. However, without actively choosing ethical investment options, our money often does exactly that.
Ethical Investing: not just for activists or the wealthy
There’s a common misconception that ethical investing is only for the ultra-wealthy or die-hard environmentalists. That’s simply not true anymore.
In fact:
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Ethical funds are accessible through most ISAs, pensions and general investment accounts.
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Performance is competitive. ESG funds have matched or even outperformed traditional funds in many cases.
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You don’t have to sacrifice returns to stick to your values
And best of all, you don’t have to figure it all out alone. Working with an ethical financial advisor ensures your investments align with your values, without adding stress or confusion.
How to start moving your money toward Positive Impact
You don’t have to overhaul everything at once. Here are some easy first steps:
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Ask your advisor if ESG or ethical fund options are available in your existing portfolio
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Shift your pension – many UK pension providers now offer sustainable or impact focused plans
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Switch to an ethical bank – you find some options in our Guide to Ethical Banking (Click here)
You’ve worked hard to live in a way that reflects what you believe. Your investments should be no different. Let us help you create a portfolio you can be proud of – one that supports the future you want to see.
If you’re ready to get started, get in touch and one of the team will be happy to help. Or you can take a look at some of the resources available on our website such as our Guide to Ethical Banking (Click here) and our Interest Rates Information Service (Click here).
We look forward to helping you make your money change your world.
It is important to take professional advice before making any decision relating to your personal finances. Information within this article does not provide individual tailored investment advice and is for guidance only. We cannot assume legal liability for any errors or omissions it might contain. Ethical Futures llp is authorised and regulated by the Financial Conduct Authority.