When establishing an investment portfolio, a diverse range of asset classes is advised to mitigate risk.
However, diversification doesn’t have to come at the expense of your personal ethics. Today, portfolio managers help clients using ethical investing to build portfolios that consider a range of socially and environmentally responsible criteria.
Defining ethical investments
Green and ethical strategies consider the larger impact of investing on the natural world and society while still seeking a financial return. Assets are sourced that fulfil financial criteria, but additionally account for personal morals and values of investors while having a positive impact on the environment.
Different types of investments available
Ethical investments adhere to a moral-based approach, excluding assets from companies trading in arms, tobacco and gambling, and choosing firms that instead contribute to improve society and the environment.
Sustainable and responsible investment, or SRI for short, aims to invest in sustainable companies that effectively manage their effect, while impact investing funds firms seeking to achieve a positive social and environmental impact.
Finally, green investments back enterprises that are focused on improving the environment.
Are you interested in an ethical investment strategy for your portfolio?
At Hartey Wealth Management, we are experts in ethical investing, and can help you create a portfolio containing assets that reflect your stance on environmental, social and governance (ESG) concerns.
For expert portfolio management in Chester, get in touch with our team today. One of our specialist advisors can help you find the ideal risk and reward profile that best suits your personal financial circumstances and stance.
