Ethical Investing

Many investors want to know that their investments are making a positive impact on our world and its inhabitants. Whether it be inside or outside of Superannuation; Socially responsible, or ethical investing fits this bill with investors and fund managers asking the hard questions about how profits are being made. Unfortunately, these types of investment options are rarely offered to clients in the financial planning space. Whether it be due to the antiquated notion that ethical investing equals higher fees and lower profits, or simply due a lack of knowledge of the options available.

 

Of course, “ethical” is a subjective term. For example, an ethical fund manager could define tobacco and gambling as unethical yet consider alcohol to be okay. Another ethical fund could be reluctant to invest in banks because they lend to companies that damage the environment. Obviously, the important issue is what you, the investor considers ethical. If you are contemplating an ethical investment, then not only will you need to understand the financials of the potential investment, but also ensure that the underlying businesses and their activities meet your standards. Whilst it is difficult to lay down an exact formula for ethical investments, there are some basic values which many people share:

  • Avoid causing illness, disease, or death;
     

  • Avoid destroying or damaging the environment;
     

  • Avoid treating people with disrespect.

At ActOn Wealth, we utilise a wide range of ethical fund managers and Superannuation providers, which allows us to tailor make portfolios that align with our clients individual values, and fits in with their short, medium and long-term financial and lifestyle goals.

Fund managers typically utilise an ethical screening process to ensure that your money is being invested into companies that can help you grow your savings and build a better world for you and your family. That criteria is made up of certain key exclusions and inclusions:

Exclude

Fossil fuels

Gambling

Tobacco

Live animal export

Old growth logging

Environmental destruction

Social harm

Harmful financing

Include

Renewable energy
 
Recycling
 
Healthcare & wellbeing
 
Efficient transport
 
Sustainable products
 
Community finance
 
Production of health foods
 
Social wellbeing

ActOn Wealth is proud to partner with Sustainable Marketplace to provide their customers with advice that is kind on both their financial goals and their conscience.

 12/37-39 Albert Road Melbourne VIC 3004
 13000 ACTON
(03) 8692 6959
contactus@actonwealth.com.au 
ActOn Wealth is a privately owned boutique financial planning firm. Our number one focus is our clients.
We strive to provide an exceptional service to help you achieve financial security and prosperity.
  • Facebook - White Circle
  • Instagram - White Circle
  • LinkedIn - White Circle
2019 TSF Community Fundraising Logo-300.
© Copyright ActOn Wealth 2019. | All Rights Reserved. ABN: 56 619 492 974 Corporate Authorised Representative of National Planning Partners Pty Ltd ABN 25 620 741 326 (Representative No. 1270401) Australian Financial Services License 503734.  Squared Home Loans Pty Ltd ACN 162 675 050, Credit Representative 436415 is authorised under Australian Credit Licence 384704.
GET A CALL BACK